Skip to content
Licensed Unlicensed Requires Authentication Published by De Gruyter July 13, 2016

Interaction of Global and National Income Inequalities

Branko Milanovic and John E. Roemer


The current era is characterized by simultaneous increase in many countries’ income inequalities and a decline in global inequality. People’s perception of inequality is shown to depend on how much they value absolute income vs. their national income position.


Global inequality for diffferent values of λ from equation (1) (in Gini values).

λYearChange between 1988 and 2008
Fully cosmopolian00.6930.6860.6890.6830.6690.634−0.059
Only national10.3350.3620.3770.3820.3900.3700.035


Brandolini, Andrea and Francesca Carta (2016) “Some Reflections on the Social Welfare Bases of the Measurement of Global Income Inequality,” Journal of Globalization and Development, 7:1–15.10.1515/jgd-2016-0007Search in Google Scholar

Case, A. and A. Deaton (2015) “Rising Morbidity and Mortality in Midlife Among White Non-Hispanic Americans in the 21st Century,” Proceedings of the National Academy of Sciences, 112:15078–15083.10.1073/pnas.1518393112Search in Google Scholar

Clark, Andrew E. and Claudia Senik (2010) “Who Compares to Whom? The Anatomy of Income Comparisons in Europe,” Economic Journal, 120:573–594.10.1111/j.1468-0297.2010.02359.xSearch in Google Scholar

Lakner, Christoph and Branko Milanovic (2015) “Global Income Distribution: From the Fall of the Berlin Wall to the Great Recession,” World Bank Economic Review, 30:203–232.10.1093/wber/lhv039Search in Google Scholar

Men, T., P. Brennan, P. Boffetta and D. Zaridze (2003) “Russian Mortality Trends for 1991–2001: Analysis by Cause and Region,” British Medical Journal, 327:7421.10.1136/bmj.327.7421.964Search in Google Scholar

Milanovic, Branko (2016) Global Inequality: A New Approach for the Age of Globalization. Boston and London: Harvard University Press.10.4159/9780674969797Search in Google Scholar

Organization for Economic Cooperation and Development (2015) In It Together. Paris: OECD. Available at: in Google Scholar

Published Online: 2016-7-13
Published in Print: 2016-6-1

©2016 Walter de Gruyter GmbH, Berlin/Boston