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Recent evolution of inequality in East Asia

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  • Gaurav Datt
  • Thomas Walker

Abstract

This study uses a decomposition of the Theil inequality index across eight countries to examine the recent evolution of inequality in East Asia. It is found that inequality in the region rose between 1990 and 1997, but that the increase was driven by higher inequality within countries, rather than between them. The most significant contribution to the overall rise in regional inequality came from urban China, where inequality doubled between 1990 and 1997. Our analysis suggests that policies to tackle inequality should be aimed at national and sub-national levels, and particularly at addressing growing rural-urban disparities.

Suggested Citation

  • Gaurav Datt & Thomas Walker, 2004. "Recent evolution of inequality in East Asia," Applied Economics Letters, Taylor & Francis Journals, vol. 11(2), pages 75-79.
    • Handle: RePEc:taf:apeclt:v:11:y:2004:i:2:p:75-79
    DOI: 10.1080/1350485042000200141
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    1. Branko Milanovic, 2002. "True World Income Distribution, 1988 and 1993: First Calculation Based on Household Surveys Alone," Economic Journal, Royal Economic Society, vol. 112(476), pages 51-92, January.
    2. François Bourguignon & Christian Morrisson, 2002. "Inequality Among World Citizens: 1820-1992," American Economic Review, American Economic Association, vol. 92(4), pages 727-744, September.
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    2. Almas Heshmati, 2006. "Conditional and unconditional inequality and growth relationships," Applied Economics Letters, Taylor & Francis Journals, vol. 13(14), pages 925-931.
    3. Sumie Sato & Mototsugu Fukushige, 2012. "The Chinese economy and income inequality among East Asian countries," China Economic Journal, Taylor & Francis Journals, vol. 5(1), pages 1-15.
    4. C. Chameni Nembua, 2007. "The multi-decomposition of the Hirschman-Herfindahl index: measuring household inequality in Cameroon, 1996-2001," Applied Economics Letters, Taylor & Francis Journals, vol. 14(1), pages 27-34.

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