• Non ci sono risultati.

In order to evaluate the overall well-being one should however know not only the average level per capita, but also+ the distribution in the population


Academic year: 2021

Condividi "In order to evaluate the overall well-being one should however know not only the average level per capita, but also+ the distribution in the population"

Mostra di più ( pagine)

Testo completo



Income is a key indicator of the degree of development of a country.

In order to evaluate the overall well-being one should however know not only the average level per capita, but also+ the distribution in the population.

Towards the end of the 20th century, for example, the so-called globalization it has accelerated the integration of world markets, and many developing economies have achieved remarkably high growth rates. How they distributed the fruits of this growth? The world income inequality has increased or decreased? These questions would be irrelevant if individuals were identical and consume the same basket of goods and services, or if the product was distributed so in some sense 'optimaly', but these are abstract conditions that never occur in the real world.

Knowledge of the distribution of income is not only essential in terms of regulation. It is also important analytically, when the ways in which we divide the product are intrinsically connected with the functioning of an economy, in particular with the economic growth process. For classical economists, Marxists and post-Keynesians, the distribution of income among social classes was given the task of securing the conditions of capital accumulation; in neoclassical variable 'social class' has no analytical role and the same division between profits and wages lost meaning with the rise in macroeconomics fiction of the representative agent.

In recent years, economists have explored alternative channels linking inequality and economic growth; some have formalized a political mechanism due to which the amount of public redistribution depends on the preferences of the 'median' voter: the poorer the latter, the more greater will be the redistribution, negatively affecting the incentives to invest, will go to the detriment of economic growth. Others have pointed out the imperfections in the capital markets, which can make it harder to borrow less affluent people, without sufficient collateral assets, precluding them the opportunity to take full advantage of investment opportunities or to achieve a proper education. Inequality has negative effects for economic growth in both


approaches, but the vision of public intervention underlying is antithetical: it distorts private choices in the former, it generates efficiency gains by removing imperfections in the second. Following this reasoning, the empirical interest for inequality tends to become instrumental, no more intrinsic, and focuses on the ways in which it can affect the progress of the phenomenon under analysis, economic growth.

The estimate of the inequality of income distribution raises complex theoretical and empirical problems. Historically, the measurement of inequality has developed favoring the construction of descriptive indexes, in the belief that the same methods were applicable both to income or wealth as all other features quantitative. The Gini index is a typical example, which measures the average distance of the income of all individuals from those of all others, and varies, for non-negative values, between 0, when there is perfect equality, and 1, when all income is concentrated in the hands of one person. Other descriptive statistics are percentiles: placing incomes in ascending order, the x-th percentile is the value of x% top income tax returns and lower than the remaining 100-x%. Thus the 10th percentile, possibly expressed than the median (P10), is an indicator of low income, while the interdecilico ratio, the ratio between the 90th and 10th percentiles, is a measure of inequality. As we will see in the following chapters, the notions of income are multiple. Income market (or original) is defined as the sum of income from labor and capital and private transfers to market incomes; gross income is calculated by adding the market rate public transfers; net income, or available, is derived from the gross deducting direct taxes and social contributions.

As for with the degree of inequality of income distribution, the developed economies are divided into well-defined groups: the Nordic countries and continental Europe show less unequal distributions of English- speaking countries and southern Europe; the dispersion of income is even higher in the Baltic States and Poland; the United States are characterized by


the highest level of inequality, surpassed only by the much less developed economies of Mexico and Russia.

However, the deep crisis that hit the world economy since 2007 cannot affect these trends. In the short term, it is expected that the most advanced countries will put a stop to the compensation of top managers and the collapse in equity prices will reduce the income from the capital of the richest, resulting in reduced inequality; in the opposite direction will be the consequences of the recession on employment and income trend, though muffled by the social protection system. It is difficult to estimate the net effect of these trends, but it is even harder to imagine what will persist for years to come. In the light of the above mentioned issues, in this work I will address several issues concerning economic inequality.

More precisely, in the first chapter I will discuss about the life-cycle hypothesis, developed by Franco Modigliani, and the evolution of the model, while in the second chapter I will focus on the permanent income theory, developed by Friedman. In the third, I will present some result about the book of T. Piketty as the evolution of inequality of income, wealth, wages and relationship capital income, in developed countries, it follows a U-shaped curve. In the fourth and last chapter I will present some data drown from OECD reports showing the growing gap between rich and poor and investigating some of the factors that may have caused this discrepancy.


Documenti correlati

For instance, we find through the mathematical analysis that in a city where the intrinsic attractiveness of a neighbourhood decreases with its distance from the center, the


However, within groups with a steeper age-earnings profile high school and college graduates employed in the private sector the generalised Lorenz curve associated with

persicae populations, a further fission of autosome 2 give raise to karyotype consisting of 2n = 14 chromosomes (Blackman, 1980; Lauritzen, 1982), making this species a

Recent research on the mechanisms of HIV active entry into the cell nucleus showed that the interaction between the HIV PIC and components of the nuclear import machinery plays a

His polyvalent personality meant it was possible to choose the image that best suited each moment: founder of monasteries for the redactor of the Vita Fructuosi, model of hermit for

To provide for the first necessity, all the courses are in Italian, with an intermediate level of the language (B1-B2) and 30 of the ECTS to be achieved belong to the

Se è vero infatti che determinate categorie sociali rimasero privilegiate e che l’ambiente monastico e religioso favorì, più del laico, l’apprendimento (almeno)

Trafficking in human beings (THB) in domestic work takes place within a broader context of widespread ‘employment’ of domestic workers in Europe. Private

Analogously, neither the name nor the interpretive category of school can be ascribed to Peano himself, who defined his collaborators “a society of mathematicians,”

This paper aims to discuss the perception of food mar- kets and highlight their importance in the urban fabric through these new social media tools, in particular, adopting CEASA

Source: Author’s calculations using Harris County District Clerk’s criminal court records (1980-2013), Harris County Sheriff’s county jail records (1980-2013), Texas Department

Our model generates occupation earnings distributions which are right skewed, have firm fixed effects, and large changes in aggregate earnings inequality without significant

Robust aggregate performance hides some significant issues, such as low and unstable wages, high, though decreasing, earnings inequality, increasing instability of jobs and

But they also suggest that these penalizations likely reflect stereotypes on lower productivity of women with children, since mothers, by the time the child starts school, do

The income inequality raises several problems, both because of its thickness and of its characteristics which often make it inequality unacceptable according to

La pubblicazione è resa disponibile sotto le norme e i termini della licenza di deposito, secondo quanto stabilito dalla Policy per l'accesso aperto dell'Università degli Studi

La pubblicazione è resa disponibile sotto le norme e i termini della licenza di deposito, secondo quanto stabilito dalla Policy per l'accesso aperto dell'Università degli Studi

The independent variables were based on: (1) the place of residence (in this case I compared the urban governorates with governorates in Lower Egypt); (2) gender (here I chose

Since the end of the 1980s, several developing and emerging medium income countries, pressed by advanced countries, the IMF and WB (Stiglitz, 2002) have abolished

Per i signori di Monfalcone il discorso è diverso: a parte un Ogerio, testi- mone nel 1209 che potrebbe non appartenere alla famiglia signorile, i rapporti con Testona vengono

Selected clay (Neusilin ® US2) and silica (Aeroperl ® 300) allowed preparation of innovative drug liquisolid systems containing dimethylacetamide or 2-pyrrolidone as drug

All in all, the research work aims at pointing out and highlighting the effective capabilities of the new web marketing tools from a relationship and