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

Interaction of Global and National Income Inequalities

Branko Milanovic and John E. Roemer

Abstract

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.

Annex

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

λYearChange between 1988 and 2008
198819931998200320082011
Fully cosmopolian00.6930.6860.6890.6830.6690.634−0.059
0.10.6580.6500.6530.6460.6320.602−0.056
0.20.6190.6120.6150.6060.5940.569−0.050
0.30.5760.5710.5740.5650.5550.535−0.041
0.40.5300.5290.5330.5240.5170.500−0.029
0.50.4830.4870.4930.4850.4810.467−0.016
0.60.4380.4480.4560.4510.4500.437−0.001
0.70.3980.4140.4250.4220.4240.4100.012
0.80.3660.3880.4000.4000.4050.3890.023
0.90.3440.3700.3840.3870.3940.3750.031
Only national10.3350.3620.3770.3820.3900.3700.035

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

©2016 Walter de Gruyter GmbH, Berlin/Boston