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Article: Income inequality and economic growth in developing countries: an empirical analysis*.
- Article from:
- Indian Journal of Economics and Business
- Article date:
- December 1, 2006
- Author:
CopyrightCOPYRIGHT 2006 Indian Journal of Economics and Business. This material is published under license from the publisher through the Gale Group, Farmington Hills, Michigan. All inquiries regarding rights should be directed to the Gale Group. (Hide copyright information)
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Abstract
Since the 1950's, income inequality and its impact on the economy has frequently been studied by many authors. Even though numerous studies have considered many aspects of this impacts, there are still many questions that remain. One of the lingering questions involves the nature of the relationship between income inequality and economic growth. Studies indicate conflicting conclusions about this relationship. This paper attempts to use income inequality data from several developing countries and shed new light on it. Based on panel data estimation over the 1966-1991 time period, the empirical evidence shows that developing countries with higher income inequality ...
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