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The distribution of income

In: Entrepreneurship and the Market Economy

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Abstract

This chapter discusses the determinants of the distribution of income within an economy. It shows how the forces of competition and monopoly interact within a segmented market to determine the distribution of income between individual participants. It identifies external factors, such as innovation, obsolescence, and changes in barriers to trade, that can alter the distribution of income. This analysis reinforces many of the key points made in the literature on income distribution, but uses a model that is far more versatile, and more realistic, than existing models.

Suggested Citation

  • ., 2024. "The distribution of income," Chapters, in: Entrepreneurship and the Market Economy, chapter 8, pages 180-208, Edward Elgar Publishing.
    • Handle: RePEc:elg:eechap:23690_8
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    File URL: https://www.elgaronline.com/doi/10.4337/9781035341542.00015
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