The actual distribution of world income across countries is extremely unequal, much higher than the within country inequality faced by most countries. The question studied in this paper is: How do international policies on aid, trade, and factor movements affect the international distribution of...

In recent years, an ample literature has emerged on the evolution of global inequality during the last two decades. A few stylized facts emerge. If one weights countries by their population, then inequality across countries has declined. However, if one treats countries equally – as in the...

The actual distribution of world income across countries is extremely unequal, much higher than the within country inequality faced by most countries. The question studied in this paper is: How do international policies on aid, trade, and factor movements affect the international distribution of...

How do international policies on aid, trade, and factor movements affect the international distribution of income? We calculate the impact by world decile of the actual level of aid flows and the effect on income of merchandise trade restrictions by high-income countries. We find that aid's...