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The World Distribution of Income and Income Inequality

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  • Heshmati, Almas

    (Jönköping University)

Abstract

This review covers a range of measures and methods frequently employed in empirical analysis of global income inequality and global income distribution. Different determinant factors along with quantification of their impacts and empirical results from different case studies are presented. These results are further contrasted to those obtained based on the World Income Inequality Database. A number of issues crucial to the studies of global income inequality are addressed. These are the concepts, measurement and decomposition of inequality, the world distribution of income and inequality measured at different levels of aggregation: global, international and intra-national. We analyse income at each of the three levels, discuss the benefit and limitations of each approach and present empirical results found in the literature and compare it with those based on the World Income Inequality Database. Research on the world income inequality supports increased awareness of the problem, its measurement and quantification, identification of causal factors and of policy measures to affect global income inequality.

Suggested Citation

  • Heshmati, Almas, 2004. "The World Distribution of Income and Income Inequality," IZA Discussion Papers 1267, Institute of Labor Economics (IZA).
    • Handle: RePEc:iza:izadps:dp1267
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    Cited by:

    1. Aggarwal, Aradhna, 2019. "How has globalisation affected the economic growth, structural change and poverty reduction linkages? Insights from international comparisons," MERIT Working Papers 2019-015, United Nations University - Maastricht Economic and Social Research Institute on Innovation and Technology (MERIT).
    2. Arno Tausch & Almas Heshmati, 2009. "Re-Orient? MNC Penetration and Contemporary Shifts in the Global Political Economy," TEMEP Discussion Papers 200911, Seoul National University; Technology Management, Economics, and Policy Program (TEMEP), revised Aug 2009.
    3. Tausch, Arno & Heshmati, Almas, 2010. "Learning from Latin America's Experience: Europe's Failure in the "Lisbon Process"," IZA Discussion Papers 4779, Institute of Labor Economics (IZA).
    4. Heshmati, Almas, 2004. "Growth, Inequality and Poverty Relationships," IZA Discussion Papers 1338, Institute of Labor Economics (IZA).
    5. Tausch, Arno, 2011. "The ‘four economic freedoms’ and life quality. General tendencies and some hard lessons for EU-27-Europe," MPRA Paper 33225, University Library of Munich, Germany.
    6. Arno Tausch & Almas Heshmati, 2012. "Migration, Openness and the Global Preconditions of "Smart Development"," Bogazici Journal, Review of Social, Economic and Administrative Studies, Bogazici University, Department of Economics, vol. 26(2), pages 1-62.
    7. Tausch, Arno, 2011. "Globalization as a driver or bottleneck for sustainable development. General tendencies and European implications," MPRA Paper 33227, University Library of Munich, Germany.
    8. Tausch, Arno, 2008. "The Efficiency of Social Expenditures in the Fight Against Extreme Poverty in Europe [Die Effizienz Der Sozialausgaben Im Kampf Gegen Extreme Armut in Europa]," MPRA Paper 10612, University Library of Munich, Germany.
    9. Basu, Kaushik, 2006. "Globalization, poverty, and inequality: What is the relationship? What can be done?," World Development, Elsevier, vol. 34(8), pages 1361-1373, August.
    10. Tausch, Arno, 2008. "On the world market trajectory of 21 major book publishing companies in globalization and European studies in 100+ countries. From “Amsterdam University Press” via “Palgrave” and “Nova Science Publish," MPRA Paper 9613, University Library of Munich, Germany.
    11. Almas Heshmati, 2006. "Continental And Sub-Continental Income Inequality," The IUP Journal of Applied Economics, IUP Publications, vol. 0(1), pages 7-52, January.
    12. Heshmati, Almas, 2004. "Data Issues and Databases Used in Analysis of Growth, Poverty and Economic Inequality," IZA Discussion Papers 1263, Institute of Labor Economics (IZA).
    13. Heshmati, Almas, 2007. "A Model for Industrial Development of the Federal Region of Kurdistan: Science and Technology Policy, Instruments and Institutions," IZA Discussion Papers 3213, Institute of Labor Economics (IZA).
    14. Heshmati, Almas, 2004. "Regional Income Inequality in Selected Large Countries," IZA Discussion Papers 1307, Institute of Labor Economics (IZA).
    15. Canback, Staffan & D'Agnese, Frank, 2007. "Where in the world is the market? : The income distribution approach to understanding consumer demand in emerging countries," MPRA Paper 13854, University Library of Munich, Germany.
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    More about this item

    Keywords

    income distribution; global income inequality; inequality indices;
    All these keywords.

    JEL classification:

    • C10 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods and Methodology: General - - - General
    • D31 - Microeconomics - - Distribution - - - Personal Income and Wealth Distribution
    • D63 - Microeconomics - - Welfare Economics - - - Equity, Justice, Inequality, and Other Normative Criteria and Measurement
    • I30 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty - - - General
    • N30 - Economic History - - Labor and Consumers, Demography, Education, Health, Welfare, Income, Wealth, Religion, and Philanthropy - - - General, International, or Comparative

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