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The Economics of Rising Inequalities
Edited by Daniel Cohen, Thomas Piketty, and Gilles Saint-Paul
372 pages
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numerous figures and tables
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234x156mm
978-0-19-925402-6
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Hardback
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24 October 2002
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This item is printed to order and supplied on a firm sale basis. Items which are printed to order are normally despatched and charged within 5-10 days.
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- Cutting-edge theoretical and empirical research
- Particular emphasis on the underlying microeconomic determinants of inequality
- Authoritative contributions by leading scholars in the field
- Includes a variety of case studies
This book is an in-depth discussion of rising inequalities in the western world. It explores the extent to which rising inequalities are the mechanical consequence of changes in economic fundamentals (such as changes in technological or demographic parameters), and to what extent they are the contingent consequences of country-specific and time-specific changes in institutions.
Both the 'fundamentalist' view and the 'institutionalist' view have some relevance. For instance, the decline of traditional manufacturing employment since the 1970s has been associated in every developed country with a rise of labor-market inequality (the inequality of labor earnings
within the working-age population has gone up in all countries), which lends support to the fundamentalist view. But, on the other hand, everybody agrees that institutional differences (minimum wage, collective bargaining, tax and transfer policy, etc.) between Continental European countries and Anglo-Saxon countries explain why disposable income inequality trajectories have been so different in those two groups of countries during the 1980s-90s, which lends support to the institutionalist view.
The chapters in this volume show the strength of both views. Through empirical evidence and new theoretical insights the contributors argue that institutions always play a crucial role in shaping inequalities, and sometimes preventing them, but that inequalities across age,
sex, and skills often recur. From Sweden to Spain and Portugal, from Italy to Japan and the USA, the volume explores the diversity of the interplay between market forces and institutions.
Readership: Academics and graduate students of economics and business; Economists in administrations and think-tanks concerned about inequality.
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Edited by Daniel Cohen, Professor of Economics, University of Paris I/Ecole normale supérieure, Thomas Piketty, Director of Studies, Department of Economics, EHESS, and Gilles Saint-Paul, Professor, Department of Economics, Université des Sciences Sociales, Toulouse Contributors:
Daron Acemoglu (MIT)
Manuel Arellano (CEMFI)
Roland Bénabou (New York University)
Samuel Bentolila (CEMFI)
Anders Björkland (Stockholm University)
Richard Blundell (University College London)
Olympia Bover (Banco de Espana)
Andrea Brandolini (Bank of
Italy)
Giorgio Brunello (Padua University, Italy)
Olga Cantó (Universidad de Vigo)
Ana R. Cardoso (Universidade do Minho)
Piero Cippollone (Bank of Italy)
Peter Gottschalk (Boston College)
John Hassler (Stockholm University)
Tsuneo Ishikawa (University of Tokyo)
Juan F. Jimeno (Universidad de Alcala FEDEA; CEPR)
Susan E. Mayer (University of Chicago)
Javier Ortega (Université des Sciences Sociales de Toulouse)
Mårten Palme (Stockholm School of Economics)
Ian Preston (University College London)
José V. Rodríguez Mora (Universitat Pompeu Fabra, Barcelona)
Paolo Sestito (Bank of Italy)
Kjetil Storesletten (Stockholm
University)
Etienne Wasmer (ECARE; CEPR)
Fabrizio Zilibotti (Stockholm University)
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"The studies cover quite a broad set of issues affecting inequality ... The research agenda of these studies is rich and ambitious." - Industrial and Labor Relations Review "The volume has many merits. All of the papers are well written, substantial, methodologically solid, and quite readable at the Masters level." - Industrial and Labor Relations Review "... a valuable addition to the literature ... a collection on a mix of topics, with some papers you will want to refer back to and several that will likely give rise to extensive further studies." - Industrial and Labor Relations Review
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Part I: Markets and Institutions
1: Olympia Bover, Samuel Bentolila, and Manuel Arellano: The Distribution of Earnings in Spain During the 1980s: The effects of skill, unemployment, and union power
2: Olga Cantó, Ana R. Cardoso, and Juan F. Jimeno: Earnings Inequality in Portugal and Spain: Contrasts and similarities
3: Daron Acemoglu: Changes in Unemployment and Wage Inequality: An alternative theory and some evidence
4: Giorgio Brunello and Tsuneo Ishikawa: Does Competition at School Matter? A view based on the Italian and Japanese experiences
5: Etienne Wasmer: The Causes of the 'Youth Employment Problem': A (labour) supply side view
6: Javier Ortega: Pareto-Improving Immigration in an Economy with Equilibrium Unemployment
Part II: Lifetime Inequalities and the Scope for Redistribution
7: Richard Blundell and Ian Preston: Consumption Inequality and Income Uncertainty
8: Anders Bjorkland and Mårten Palme: Income Redistribution Within the Life Cycle Versus Between Individuals: Empirical evidence using Swedish panel data
9: Andrea Brandolini, Piero Cippollone, and Paolo Sestito: Earnings Dispersion, Low Pay, and Household Poverty in Italy, 1977-1998
10: Peter Gottschalk and Susan E. Mayer: Changes in Home Production and Trends in Economic Inequality
11: Roland Bénabou: Unequal Societies: Income distribution and the social contract
12: John Hassler, José V. Rodríguez Mora, Kjetil Storesletten, and Fabrizio Zilibotti: Unemployment, Specialization, and Collective Preferences for Social Insurance
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