Capital Account Liberalisation Does Worsen Income Inequality - read free eBook in online reader or directly download on the web page. Select files or add your book in reader. Download and read online ebook Capital Account Liberalisation Does Worsen Income Inequality write by Xiang Li. This book was released on 2020. Capital Account Liberalisation Does Worsen Income Inequality available in PDF, EPUB and Kindle. This study examines the relationship between capital account liberalisation and income inequality. Adopting a novel identification strategy, namely a difference-in-difference estimation combined with propensity score matching between the liberalised and closed countries, we provide robust evidence that opening the capital account is associated with an adverse impact on income inequality in developing countries. The main findings are threefold. First, fully liberalising the capital account is associated with a small rise of 0.07-0.30 standard deviations in the Gini coefficient in the short-run and a rise as large as 0.32-0.62 standard deviations in the ten years after liberalisation, on average. Second, widening income inequality is the outcome of the growing income share of the rich at the cost of the poor. The long-term effect of capital account liberalisation includes a reduction in the income share of the poorest half by 2.66-3.79 percentage points and an increase in the income share of the richest 10% by 5.19-8.76 percentage points. Third, the directions and categories of capital account liberalisation matter. Inward capital account liberalisation is more detrimental to income equality than outward capital account liberalisation, and free access to the international equity market exacerbates income inequality the most, while foreign direct investment has an insignificant impact on inequality.
Capital Account Liberalization and Inequality
Capital Account Liberalization and Inequality - read free eBook in online reader or directly download on the web page. Select files or add your book in reader. Download and read online ebook Capital Account Liberalization and Inequality write by Davide Furceri. This book was released on 2015-11-24. Capital Account Liberalization and Inequality available in PDF, EPUB and Kindle. This paper examines the distributional impact of capital account liberalization. Using panel data for 149 countries from 1970 to 2010, we find that, on average, capital account liberalization reforms increase inequality and reduce the labor share of income in the short and medium term. We also find that the level of financial development and the occurrence of crises play a key role in shaping the response of inequality to capital account liberalization reforms.
Financial Globalization and Inequality: Capital Flows as a Two-Edged Sword
Financial Globalization and Inequality: Capital Flows as a Two-Edged Sword - read free eBook in online reader or directly download on the web page. Select files or add your book in reader. Download and read online ebook Financial Globalization and Inequality: Capital Flows as a Two-Edged Sword write by Mr.Barry J. Eichengreen. This book was released on 2021-01-08. Financial Globalization and Inequality: Capital Flows as a Two-Edged Sword available in PDF, EPUB and Kindle. We review the debate on the association of financial globalization with inequality. We show that the within-country distributional impact of capital account liberalization is context specific and that different types of flows have different distributional effects. Their overall impact depends on the composition of capital flows, their interaction, and on broader economic and institutional conditions. A comprehensive set of policies – macroeconomic, financial and labor- and product-market specific – is important for facilitating wider sharing of the benefits of financial globalization.
Capital Account Liberalization & Income Inequality
Capital Account Liberalization & Income Inequality - read free eBook in online reader or directly download on the web page. Select files or add your book in reader. Download and read online ebook Capital Account Liberalization & Income Inequality write by Jess Esplin. This book was released on 2016. Capital Account Liberalization & Income Inequality available in PDF, EPUB and Kindle.
Inequality, Growth, and Poverty in an Era of Liberalization and Globalization
Inequality, Growth, and Poverty in an Era of Liberalization and Globalization - read free eBook in online reader or directly download on the web page. Select files or add your book in reader. Download and read online ebook Inequality, Growth, and Poverty in an Era of Liberalization and Globalization write by Giovanni Andrea Cornia. This book was released on 2004-03-18. Inequality, Growth, and Poverty in an Era of Liberalization and Globalization available in PDF, EPUB and Kindle. Within-country income inequality has risen since the early 1980s in most of the OECD, all transitional, and many developing countries. More recently, inequality has risen also in India and nations affected by the Asian crisis. Altogether, over the last twenty years, inequality worsened in 70 per cent of the 73 countries analysed in this volume, with the Gini index rising by over five points in half of them. In several cases, the Gini index follows a U-shaped pattern, with theturn-around point located between the late 1970s and early 1990s. Where the shift towards liberalization and globalization was concluded, the right arm of the U stabilized at the 'steady state level of inequality' typical of the new policy regime, as observed in the UK after 1990.Mainstream theory focusing on rises in wage differentials by skill caused by either North-South trade, migration, or technological change poorly explains the recent rise in income inequality. Likewise, while the traditional causes of income polarization-high land concentration, unequal access to education, the urban bias, the 'curse of natural resources'-still account for much of cross-country variation in income inequality, they cannot explain its recent rise.This volume suggests that the recent rise in income inequality was caused to a considerable extent by a policy-driven worsening in factorial income distribution, wage spread and spatial inequality. In this regard, the volume discusses the distributive impact of reforms in trade and financial liberalization, taxation, public expenditure, safety nets, and labour markets. The volume thus represents one of the first attempts to analyse systematically the relation between policy changes inspired byliberalization and globalization and income inequality. It suggests that capital account liberalization appears to have had-on average-the strongest disequalizing effect, followed by domestic financial liberalization, labour market deregulation, and tax reform. Trade liberalization had uncleareffects, while public expenditure reform often had positive effects.
