We document the evolution of intergenerational income (IGI ) inequality, measured as the relative income between old and young individuals, using harmonised microdata from 42 countries at different stages of economic development. In the last 20 years, IGI inequality has increased (in favour of...

From the literature on decentralization, it appears that the fiscal vertical imbalance is somehow inherent to multi-level governments. Using a stylized model we show that this leads to a reduction in the extent of redistributive fiscal policies if the maximal tolerable size of government has...

Current studies addressing the rise in inequality confine themselves to country-level developments. This paper delineates trends in earnings inequality and employment at the sectoral level for eight LIS countries between 1985-2005. Earnings inequality mainly manifests itself within rather than...

We develop a quantitative heterogeneous-agents general equilibrium model that reproduces the income inequalities of 32 countries in the Organization for Economic Co-operation and Development. Using this model, we compute the optimal income tax rate for each country under the equal-weight...

We examine empirically the relationship between the extent of redistribution and the components of the Mirrlees framework, with a focus on inherent inequality and government’s redistributive preferences. We have constructed our income distribution variables from the Luxembourg Income Study...

There is increasing scholarly evidence that financialization has contributed to rising income inequality, especially by concentrating income among the affluent and rich. There is less empirical research examining who is losing out to the affluent. This paper fills this gap by examining how three...

Regional differences in prices levels are substantial in many countries, but little is known about how important they are for income inequality and relative poverty. To bridge this gap, we provide new evidence on the basis of the best available data and a novel two-step approach. First, we...

The aim of this paper is to analyze the regional disparities of six decentralized countries using LIS microdata. In order to determine the extent of the territorial variable in the explanation of income inequality, we carry out two complementary analyses. On the one hand, we perform the...

We study the effect of power sharing over income redistribution among different socio-economic groups in a model of redistributive politics with fairness concern. We prove that a unique pure-strategy equilibrium exists under fairly general conditions; and we show that equilibrium transfers...

What are the consequences of the trend towards more flexibilized temporary employment for income inequality? This paper reassesses the crucial assumption behind the politics of dualization that reforms targeted at outsiders do not undermine the position of labor market insiders. Instead, I argue...