Dynamics Of Inequality Research Articles

Unlocking the power of solar photovoltaics and ICT trade on income inequality across developed and developing economic spectrum

Solar photovoltaic energy can improve poverty circumstances, enhance income levels, and alleviate gaps in income distribution. Thus, this study seeks to demonstrate the compound relationship between solar photovoltaic systems and income inequality from (2000 to 2022). It also examines how Information and Communication Technology-Trade, financial development, and education affect income disparity. The Panel Method of Moments Quantile Regression and the Dumitrescu-Hurlin Ganger causality technique are used to examine these variables' long-term correlations. This study shows that solar photovoltaic energy can lift people from poverty, increase income, and reduce income gaps in emerging and developed nations. The moderation impact of solar photovoltaics in conjunction with economic growth uncovers a potentially advantageous synergistic outcome that could ultimately mitigate income inequality in both developed and developing nations. The study found an inverted U-shaped Kuznets Inequality Curve pattern in developing countries, suggesting that initial economic expansion may worsen income disparity before improving it. Developed economies have a U-shaped Kuznets Inequality Curve pattern, indicating that economic expansion initially reduces inequality but, after that, increases income inequalities. ICT trade appears to worsen income inequality, according to the study. Additionally, education is crucial to reducing income inequality. These findings help us comprehend the complex dynamics of solar photovoltaic energy, ICT trade, and wealth inequality in developed and developing nations.

The Origins and Dynamics of Inequality: Sex, Politics, and Ideology

The Origins and Dynamics of Inequality: Sex, Politics, and Ideology

Intra-urban house prices in Madrid following the financial crisis: an exploration of spatial inequality

In this paper we explore the temporal dynamics of spatial inequality in housing prices for Madrid, the capital city of Spain. Spatial inequalities are a concerning feature of urban areas across the globe. It has been suggested that within cities housing prices are becoming more geographically unequal over time, particularly since the 2008 housing market crash. However, more evidence is needed at the intra-urban level to understand neighbourhood house price differences in large urban areas. Changes are analysed during a key period of the housing market bust (2010–2015) and boom (2016–2019), using data from a major housing listing portal. Fine grain space-time analysis of the distribution of housing prices supports an increase in spatial inequality and polarisation at the neighbourhood level. Two spatially differentiated housing sub-markets of high- and low-priced housing are identified. The persistence and growth of spatial house price inequality has important societal implications for the wealth gap and segregation of rich and poor in cities.

Unravelling the dynamics of mental health inequalities in England: A 12-year nationwide longitudinal spatial analysis of recorded depression prevalence

BackgroundDepression is one of the most significant public health issues, but evidence of geographic patterns and trends of depression is limited. We aimed to examine the spatio-temporal patterns and trends of depression prevalence among adults in a nationwide longitudinal spatial study in England and evaluate the influence of neighbourhood socioeconomic deprivation in explaining patterns. MethodsInformation on recorded depression prevalence was obtained from the indicator Quality and Outcomes Framework: Depression prevalence that measured the annual percentage of adults diagnosed with depression for Lower Super Output Areas (LSOA) from 2011 to 2022. We applied Cluster and Outlier Analysis using the Local Moran’s I algorithm. Local effects of deprivation on depression in 2020 examined with Geographically Weighted Regression (GWR). Inequalities in recorded prevalence were presented using Prevalence Rate Ratios (PRR). ResultsThe North West Region of England had the highest concentration of High-High clusters of depression, with 17.4% of the area having high values surrounded by high values in both space and time and the greatest percentage of areas with a high rate of increase (43.1%). Inequalities widened among areas with a high rate of increase in prevalence compared to those with a lower rate of increase, with the PRR increasing from 1.66 (99% CI 1.61–1.70) in 2011 to 1.81 (99% CI 1.76–1.85) by 2022. Deprivation explained 3%–39% of the variance in depression in 2020 across the country. ConclusionsIt is crucial to monitor depression's spatial patterns and trends and investigate mechanisms of mental health inequalities. Our findings can help identify priority areas and target prevention and intervention strategies in England. Evaluating mental health interventions in different geographic contexts can provide valuable insights to policymakers on the most effective and context-sensitive strategies, enabling them to allocate resources towards preventing the worsening of mental health inequalities.

The nonlinear dynamic effect of government expenditure on income inequality: The case of macroprudential policy switching

A panel data analysis of nonlinear government expenditure and income inequality dynamics in a macroprudential policy regime was conducted on a panel of 15 emerging countries from 1985–2019, where there had been a non-prudential regime from 1985–1999 and a prudential regime from 2000–2019. The paper explored the validity of the nonlinearity between government expenditure and income inequality in the macroprudential policy regime as well as the threshold level at which excessive spending reduces income inequality using the Bayesian spatial lag panel smooth transition regression (BSPSTR) and fix effect models. The BSPSTR model was adopted due to its ability to address the problems of heterogeneity, endogeneity, and cross-section correlation in a nonlinear framework. Moreover, as the transition variable often varies across time and space, the effect of the independent variables can also be time- and space-varying. The results reveal evidence of a nonlinear effect between government spending and income inequality, where the minimum level of government spending is found to be 29.89 percent of GDP, above which expenditure reduces inequality in emerging countries. The findings confirmed an inverted U-shaped relationship. The focal policy recommendation is that fiscal policy decisions that will reinforce the need for more emphasis on education and public expenditure on education and health, as important tools for improving income inequality, are crucial for these economies. Caution is needed when introducing macroprudential policies, especially at a low level of government expenditure.

Cause-of-Death Determinants of Lifespan Inequality

We propose a novel decomposition approach that breaks down the levels and trends of lifespan inequality as the sum of cause-of-death contributions. The suggested method shows whether the levels and changes in lifespan inequality are attributable to the levels and changes in (1) the extent of inequality in the cause-specific age-at-death distribution (the “Inequality” component), (2) the total share of deaths attributable to each cause (the “Proportion” component), or (3) the cause-specific mean age at death (the “Mean” component). This so-called Inequality–Proportion–Mean (or IPM) method is applied to 10 low-mortality countries in Europe. Our findings suggest that the most prevalent causes of death (in our setting, “circulatory system” and “neoplasms”) do not necessarily contribute the most to overall levels of lifespan inequality. In fact, “perinatal and congenital” causes are the strongest drivers of lifespan inequality declines. The contribution of the IPM components to changes in lifespan inequality varies considerably across causes, genders, and countries. Among the three components, the Mean one explains the least lifespan inequality dynamics, suggesting that shifts in cause-specific mean ages at death alone contributed little to changes in lifespan inequality.

Club convergence in the eurozone: A look at inequality dynamics

This paper examines the convergence of eurozone countries’ inequality indicators between 1995 and 2020. The Phillips and Sul (2007, 2009) methodology is used to determine the existence of convergence clubs. Our findings show that eurozone countries follow a similar trajectory in terms of the income of the richest 1% of the population and are divided into two clusters based on other inequality indicators.

The Dynamics of Inequality and Mobility: A Panel Data Analysis of the Spanish Income Tax

AbstractObjectiveThis article aims to analyze the evolution of income inequality and mobility in Spain during the period 1999–2011 by exploiting data from personal income tax returns.MethodsTo assess the evolution of inequality over the period analyzed, we have used some of the many metrics developed for this purpose, each of which offers a different approach depending on the segment of the income distribution they focus on (Gini coefficient, income shares, generalized entropy index, and the Atkinson class of measures).ResultsOur results suggest that, after a period of slightly declining income inequality, Spain experienced a rise in inequality in the years immediately preceding the Great Recession, before falling back to precrisis levels. With regard to income mobility, during this period, it was more common for individuals in the middle of the distribution to experience changes, while those at the top and bottom maintained a more stable position.ConclusionsThe economic boom of the late 1990s and early 2000s, as well as the Great Recession, had a significant impact on income inequality and mobility.

The changing social structure of housing tenures through China’s successive urban housing reforms

Housing system transitions often involve successive but overlapping periods of reform with crucial implications for housing inequality dynamics. Building on welfare regime and market transition discussions, this paper considers how the shifting roles of the state, market, and family in housing provision in China have led to changing housing tenures and differentiated access to them between populations with varying socio-economic resources. Drawing on two national datasets, our analyses reveal that the four decades of reforms dramatically upended urban China’s tenure structure with market homeownership becoming the dominant tenure. Nevertheless, we find a substantial and increasing role of the family in housing provision, especially for people with fewer socio-economic resources. The advantages associated with better institutional resources under the previous socialist housing system not only persist in accessing state-provided tenures but have also extended their influence into market housing. Meanwhile, homeownership outcomes have become increasingly polarized among groups with different income and education levels. Our findings expose the reproduction and apparent amplification of tenure-related housing inequalities over the period of housing regime transformation.

Towards Social Justice: Investigating the Role of Labor, Globalization, and Governance in Reducing Socio-Economic Inequality within Post-Communist Countries

In the midst of contemporary global challenges, including the repercussions of the pandemic, geopolitical conflicts, and transitional shifts, a notable surge in attention toward income inequality has materialized, garnering significant focus from both national and international entities. The urgency surrounding this issue is amplified by the imperative need for economic sustainability, recognizing poverty and inequalities as fundamental global security threats. Particularly within Europe, the persistent disparities in living standards, evident across and within countries, serve as potent indicators of enduring poverty and inequality. These concerns underscore potential barriers to the European Union’s pursuit of convergence and cohesion, aligning with the Sustainable Development Goals (SDGs), which prioritize addressing poverty (SDG 1) and reducing inequalities (SDG 10) for sustainable development. This study aims to scrutinize the dynamics of income inequality, concentrating on post-communist countries in Central and Eastern Europe (CEE). Employing panel data analysis, the research identifies and tests variables influencing income inequality in the region, specifically emphasizing labor market structures, globalization, economic development, and governance mechanisms, which hold particular relevance for the region’s context. The primary findings underscore the potential impact of enhancing these sectors in mitigating income inequality within the specified region. These insights provide a foundation for informed policy-making, presenting opportunities to address and mitigate inequalities effectively. They pave the way for fostering pathways toward greater equality and equitable socio-economic development within post-communist nations, ensuring a more inclusive and sustainable future.

Does institutional quality moderate the human capital–inequality dynamics? Comparative evidence from LAC and SSA countries

AbstractAligning with Sustainable Development Goal 10, this study probes whether quality institutions matter in the drive towards reducing income inequality through human capital. An unbalanced panel data on the Gini index (measure of income inequality), human capital index and institutional quality index drawn across 83 Latin America and sub‐Saharan African (SSA) countries from 2010 to 2019 is used. For the most part, the consensus is that the interaction of human capital and quality institutions significantly reduces income inequality. For context, inequality reduces by −7.810 and −21.30 points for the full and SSA samples. Other findings reveal that the interaction effect is consistently negative at upper quantiles. Evidence from the margin plots reveals that the effect of human capital on inequality improves as institutional quality is strengthened. The downward trend of the plot within the 95% confidence interval shows that institutional quality enhances the impact of human capital on income inequality for the full sample and in SSA. This is a novel contribution to the literature as it suggests that quality institutions matter in the drive towards reducing the menace of income inequality. Policy recommendations are discussed.

Harvesting value: Corporate strategies of data assetization in agriculture and their socio-ecological implications

The global food system is characterized by market concentration and oligopoly. In our article, we focus on the most powerful input supply and machinery companies and analyze how these firms create value, both economic and otherwise, from big data. In digital capitalism, data is valorized across sectors; personal data is aggregated into large-scale datasets, a practice that feeds economic concentration and monopolization. Big data also has become central to the business model for agricultural companies; it is a claim made by the companies themselves. Yet, little is known about their specific strategies to do so. We aim to fill this gap, asking how is agricultural data transformed into value by the most powerful agribusinesses and ag-tech firms? Through the lens of assetization, we examine corporate strategies for transforming agricultural data into value. We draw on literature from food studies, specifically political economic analyses of the historical practices of agricultural corporations, as well as literature from critical data studies that investigates data as an asset. For our analysis, we rely on a variety of gray literature and public-facing documents: financial documents, sustainability and shareholder reports, terms of use, license agreements, and news articles. Our results contribute to the critical data studies literature on agricultural big data by identifying three main strategies of assetization: securing relationships and dependence, price-setting and data sharing, and product development and targeted marketing. The strategies have socio-ecological implications; our results indicate the reproduction of asymmetrical power relations in the agri-food system favoring corporations and the continuation of long-standing dynamics of inequalities.

Neighborhood-level inequalities and influencing factors of COVID-19 incidence in Berlin based on Bayesian spatial modelling

Numerous studies have explored influencing factors in COVID-19, yet empirical evidence on spatiotemporal dynamics of COVID-19 inequalities concerning both socioeconomic and environmental factors at an intra-urban scale is lacking. This study, therefore, focuses on neighborhood-level spatial inequalities of the COVID-19 incidences in relation to socioeconomic and environmental factors for Berlin-Neukölln, Germany, covering six pandemic periods (March 2020 to December 2021). Spatial Bayesian negative binomial mixed-effect models were employed to identify influencing factors and risk patterns for different periods. We identified that (1) influencing factors and relative risks varied across time and space, with sociodemographic factors exerting a stronger influence over environmental features; (2) as the most identified predictors, the population with migrant backgrounds was positively associated, and the population over 65 was negatively associated with COVID-19 incidence; (3) certain neighborhoods consistently faced elevated risks of COVID-19 incidence. This study highlights potential structural health inequalities within migrant communities, associated with lower socioeconomic status and a higher risk of COVID-19 incidence across diverse pandemic periods. Our findings indicate that locally tailored interventions for diverse citizens are essential to address health inequalities and foster a more sustainable urban environment.

The Dynamics of Inequality and Poverty Among Children in Colombia During the COVID-19 Recession

This study examines the impact of the COVID-19 pandemic on the income, inequality, and poverty levels among Colombian children between 2019 and 2020, using data from the Luxembourg Income Study Database. The income distribution and changes among Colombian children are analyzed using the probability density function and growth incidence curve. The paper utilizes the Foster–Greer–Thorbecke methodology to measure child poverty in Colombia, decomposes the contributions of different subgroups to child poverty and its changes, and conducts a growth-distribution decomposition of changes in child poverty. The study also employs income-source decomposition to examine the contributions of different income sources to child inequality and its changes. The results show that Colombian children experienced a decline in income, an increase in inequality, and higher levels of poverty during the COVID-19 pandemic. Children from households with higher dependency ratios and those living in rural areas were more likely to experience poverty. The main driver of increased poverty among Colombian children was decreased income, and there was a significant worsening of inequality for ultra-poor children. Labor income emerged as the primary source of inequality and its changes, whereas capital income and private transfers played a role in reducing poverty. However, public social benefits slightly increased inequality levels. Overall, the recession caused by the COVID-19 pandemic is antipoor but pro-ultra-poor. To address similar recessions in the future, the government should expand public transfer payments especially programs targeting children to reduce income inequality and alleviate poverty among children, and bolster the provision of public services essential for children’s development.

The dynamics of redistribution, inequality and growth across China’s regions

China’s experience has triggered debate over a trade-off between aggregate growth and regional equity. We develop a three-region model of China where local government decisions are driven by central government tax transfer instruments. These affect local TFP dynamics and regional inequality. We find regional asymmetry in how transfers are awarded. Transfer policies pursued since the 1994 tax-sharing reform prevented a 15% rise in regional inequality, at an 8% cost to aggregate GDP. Temporarily reducing local government non-tax fees on private firms in poorer regions lowers regional inequality permanently at no aggregate growth cost, as would imposing uniformity in central transfer rules.

Translation as a cultural tool for mediating conflict in queer and feminist grassroots democratic coalitions in Denmark, Germany and Sweden

In this article, I present the findings of a three-year qualitative research project studying feminist and queer activist groups that support refugees in Denmark, Germany and Sweden. My findings show how multilingual activists volunteered as linguistic interpreters to enable inclusive dialogue between refugees and host-country citizens in joint grassroots democratic coalition meetings. Based on interviews with different groups, I show that their linguistic-broker position gave these activists the leverage to challenge and bring to the attention of white-majority citizens the exclusionary dynamics of structural inequality and civic-status hierarchies that create tensions within supposedly open and inclusive joint meetings. By highlighting the critical, counter-hegemonic positionality of activist-translators in coalitions working on gender, the central contribution of my case study is to connect theories of translation and conflict mediation in transnational social movements with research that focuses on the dynamics of inclusion and exclusion in intersectional coalitions.

Trade Openness and Income Inequality – A Fresh Perspective

In the realm of economics, the relationship between trade openness and other indicators of economic growth, alongside their impact on income distribution, has been a subject of extensive examination by economists globally. Despite the considerable attention devoted to this topic, the findings remain inconclusive, particularly concerning developing countries. Some studies suggest that increased trade openness correlates with a decrease in income inequality, while others propose the opposite. This lack of consensus has led to ongoing debates among economists and policymakers in developing nations regarding the merits and drawbacks of trade liberalization. By examining a wide range of scholarly literature on the subject, this paper aims to shed light on the complex and multifaceted interactions between trade openness, various indicators of economic growth, and income distribution. Through meticulous analysis and synthesis of existing research findings, we endeavor to provide insights that contribute to a better understanding of how trade policies influence income inequality dynamics in both of developing as well as developed economies. In pursuit of these objectives, the paper will employ rigorous analytical methods and draw upon diverse datasets from different countries and time periods. By systematically exploring the relationships between trade openness, GDP growth, FDI inflows, employment trends, and income distribution, we aim to offer valuable insights that can inform evidence-based policymaking and contribute to the ongoing discourse surrounding the role of trade in shaping economic inequality. Ultimately, our endeavor seeks to advance knowledge in this field and provide guidance for policymakers grappling with the challenges of fostering inclusive economic growth amidst the complexities of global trade dynamics.

Which employers pay a higher college wage premium?

PurposeThe authors' work aims to identify the employer-specific drivers of the college (or university) wage gap, which has been identified as one of the major determinants of the dynamics of overall wage and income inequality in the past decades. The authors focus on three employer-level features that can be associated with asymmetries in the employment relation orientation adopted for college and non-college-educated employees: (1) size, (2) the share of standard employment and (3) the pervasiveness of incentive pay schemes.Design/methodology/approachThe authors' establishment-level analysis (data from the Basic Survey on Wage Structure (BSWS), 2005–2018) focusses on Japan, an economy characterised by many unique economic and institutional features relevant to the aims of the authors' analysis. The authors use an adjusted measure of firm-specific college wage premium, which is not biased by confounding individual and establishment-level factors and reflects unobservable characteristics of employees that determine the payment of a premium. The authors' empirical methods account for the complexity of the relationships they investigate, and the authors test their baseline outcomes with econometric approaches (propensity score methods) able to address crucial identification issues related to endogeneity and reverse causality.FindingsThe authors' findings indicate that larger establishment size, a larger share of regular workers and more pervasive implementation of IPSs for college workers tend to increase the college wage gap once all observable workers, job and establishment characteristics are controlled for. This evidence corroborates the authors' hypotheses that a larger establishment size, a higher share of regular workers and a more developed set-up of performance pay schemes for college workers are associated with a better capacity of employers to attract and keep highly educated employees with unobservable characteristics that justify a wage premium above average market levels. The authors provide empirical evidence on how three relevant establishment-level characteristics shape the heterogeneity of the (adjusted) college wage observed across organisations.Originality/valueThe authors' contribution to the existing knowledge is threefold. First, the authors combine the economics and management/organisation literature to develop new insights that underpin the authors' testable empirical hypotheses. This enables the authors to shed light on employer-level drivers of wage differentials (size, workforce composition, implementation of performance-pay schemes) related to many structural, institutional and strategic dimensions. The second contribution lies in the authors' measure of the “adjusted” college wage gap, which is calculated on the component of individual wages that differs between observationally identical workers in the same establishment. As such, the metric captures unobservable workers' characteristics that can generate a wage premium/penalty. Third, the authors provide empirical evidence on how three relevant establishment-level characteristics shape the heterogeneity of the (adjusted) college wage observed across organisations.

Межрегиональное неравенство в России и постсоветских странах в XXI веке

The article analyzes the level and dynamics of interregional inequality in Russia, Kazakhstan, Uzbekistan, Belarus and some European countries (in terms of NUTS-2 territorial units) according to available data from official statistics of the CIS countries (1995–2022) and Eurostat (2011–2022). The Gini coefficient, weighted by population and normalized depending on the number of territorial units, was used as the main evaluation parameter. The lower level and stability of interregional inequality in the countries of the European Union and Belarus are associated with a high and more uniform development of the territory and a more stable economic structure. In large post-Soviet countries, the dynamics of interregional inequality are multidirectional; there is no stable trend, which is associated with resource and capital rent in a limited range of regions. In Russia and Uzbekistan since the late 2010s. inequality grew, decreased in Kazakhstan, and was small and stable in Belarus due to the peculiarities of the economic structure and institutional factors of development. Assessments of the influence of the macroeconomic factor on interregional inequality did not provide obvious confirmation of its impact. The impact of the state’s redistribution policy can only be assessed for Russia: it was more noticeable during the crises of 2009 and 2020. Within Russian federal districts, differentiation is lower. High inequality is typical for the extremely heterogeneous Ural Federal District and the Central Federal District, where it has been declining in recent years. In the Far Eastern Federal District, regional differentiation grew, and its gradual increase also occurred in the regions of the Northwestern Federal District.

SOCIAL INEQUALITY IN KAZAKHSTAN: PARAMETERS AND INDICATORS

Social inequality has always been and remains one of the key problems of any economic system, to which both society itself and the state as a whole pay attention. In the article, this problem is inextricably linked with such aspects of state economic regulation as taxation, insurance, investment, which requires a special study of all criteria and indicators for the effective provision of social security of the population. The purpose of the study is to analyze social inequality in Kazakhstan using modern statistical meth-ods such as cluster analysis and ARIMA modeling.The scientific significance of the study is that it presents new insights to the analysis and modeling of social inequality in Kazakhstan. Practical significance can be observed in the analysis of parameters and dynamics of social inequality, which allows to identify vulnerable groups and focus on improving their social situation.Cluster analysis is carried out because of data on social and economic characteristics of the popula-tion, to identify groups similar in terms of well-being. The ARIMA (Autoregressive Integrated Moving Average) method is used to model the dynamics of social inequality.The results of the study allowed us to identify the main parameters of social inequality in Kazakhstan. It was found that income inequality remains one of the most significant factors affecting the welfare of the population. Also, significant differences are observed in the level of education, access to health care and quality of housing conditions.The study represents an important contribution to the understanding of social inequality in Kazakh-stan, its parameters, and dynamics, as it allows us to assess the scale and structure of social inequality in Kazakhstan. Identify the most vulnerable groups of the population and identify the causes of their vulner-ability. To develop forecasts for the development of social inequality and assess possible risks.