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Who gains from economic freedom? A panel analysis on decile income shares

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  • Donatella Saccone

Abstract

By analysing a panel of 76 developed and developing countries for period 1980–2014, this paper provides new evidence about the relation between economic freedom and income distribution, measured through decile income shares. The results show that a higher degree of economic freedom has a negative impact on the first eight deciles; conversely, it favours the richest percentiles and, especially, the top 10% and 5%. While the results aim at reopening an old debate with new evidence, the paper calls for more accurate studies that estimate the effects that each subcomponent of economic freedom may have on income inequalities.

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  • Donatella Saccone, 2021. "Who gains from economic freedom? A panel analysis on decile income shares," Applied Economics Letters, Taylor & Francis Journals, vol. 28(8), pages 646-649, May.
    • Handle: RePEc:taf:apeclt:v:28:y:2021:i:8:p:646-649
    DOI: 10.1080/13504851.2020.1770187
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    Cited by:

    1. Callais, Justin T. & Young, Andrew T., 2023. "A rising tide that lifts all boats: An analysis of economic freedom and inequality using matching methods," Journal of Comparative Economics, Elsevier, vol. 51(3), pages 744-777.
    2. Chambers, Dustin & O'Reilly, Colin, 2022. "Regulation and income inequality in the United States," European Journal of Political Economy, Elsevier, vol. 72(C).
    3. Huynh, Cong Minh & Le, Quoc Nha, 2022. "A multi-dimensional free market and income inequality in developing Asia: How does the quality of governance matter?," MPRA Paper 112013, University Library of Munich, Germany.
    4. Dean, James & Geloso, Vincent, 2024. "Poverty spells and economic freedom: Canadian evidence," Journal of Economic Behavior & Organization, Elsevier, vol. 224(C), pages 282-296.

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