We show theoretically that the poor can benefit from price changes induced by higher income inequality. As the number … increase in poverty associates with higher purchasing power of the poor. Using cross-country data at two points in time on the … price of rice and Big Mac hamburgers, we confirm the relationship between inequality and purchasing power of the poor, and …

We present new evidence on the influence of income inequality on generalized trust. Using individual panel data from … relationship between income inequality and trust is particularly strong for people with a strong aversion against income …

This paper reviews the literature on economic inequality and trust. Cross-country studies, within-country studies, and … experiments all suggest that economic inequality exerts a negative influence on trust. Four mechanisms are proposed to explain the … negative relationship: social ties (or networks), inference on social relationships (to see inequality as a signal of …

inequality increased. We introduce new ways of approximating the effects of international flows and find that the recent increase … in Swedish wealth inequality is likely to be larger than what official estimates suggest. …

Several studies have linked rising insolvency rates to increasing inequality and argued that this might be explained by …, I test whether the probability to become insolvent is related to inequality in one's reference group or to one's income … varying the definition of relevant reference groups. I find that there is a positive relationship between inequality and …

The large increase in economic inequality and the dismantling of the welfare state in Western democracies has been … care more about procedural fairness than inequality of economic outcomes, national income inequality should be less …/welfare state size, we find no relationship between country-level economic inequality, as measured by the disposable income Gini …