6533b7d8fe1ef96bd126b016

RESEARCH PRODUCT

Fiscal adjustments and income inequality: a first assessment

Ricardo M. SousaLuca Agnello

subject

MacroeconomicsEconomics and EconometricsInequalitymedia_common.quotation_subjectSocial SciencesOpennessKuznets curveEconomic inequalityIncome distributionDebt0502 economics and businessEconomics050207 economicsKuznets curve10. No inequalityInequality fiscal consolidation Kuznets curve opennessmedia_common050208 finance05 social sciences1. No povertySettore SECS-P/02 Politica EconomicaFiscal unionAusterityIncome inequality metricsInequalityFiscal consolidation8. Economic growth

description

Using a statistical approach to identify fiscal adjustments, we find that fiscal consolidation appears to shorten the income gap. Fiscal austerity plans that succeed in bringing public debt to a sustainable path seem to be more likely to reduce inequality. Expansionary fiscal adjustments are particularly important to promote changes in the income distribution.

yearjournalcountryeditionlanguage
2012-11-01
https://hdl.handle.net/1822/22473