Inequality and the middle‐income trap

Dados Bibliográficos

ID21594424
AutoresXiaoshan Hu (0000-0003-4065-1281, School of Business Shanghai DianJi University Shanghai China), Guanghua Wan (0000-0003-3669-369X, Institute of World Economy Fudan University Shanghai China), Yang Chen (0000-0001-5943-3247, Fudan University), Chen Yang (0000-0002-4801-4036, Institute of World Economy Fudan University Shanghai China), Anqi Zhang (0000-0002-0195-5429, Institute of Belt and Road & Global Governance Fudan University Shanghai China, autor correspondente)
Ano2023
Volume35
Fascículo7
Páginas1684-1710
Data de publicação2023-10-01
Peer ReviewedSim
Open AccessSim
TipoARTICLE
PeriódicoJournal of International Development (JOURNAL)
Identificadores do periódicoISSN: 0954-1748 • E-ISSN: 1099-1328
EditoraWiley (PUBLISHER • GB)
DOI10.1002/jid.3747
OpenAlexW4319787958
IdiomaEN
Citações recebidas2
Referências citadas51

This paper proposes an indicator measuring the likelihood for an economy to escape the middle income trap (MIT) and then estimates the impact of income inequality on this indicator using 1960‐2019 cross‐country data. Major findings include the following: (1) The likelihood of escaping MIT is relatively large for Asia, followed by Europe, Africa, North America and South America. (2) Inequality is negatively and significantly correlated with the MIT indicator, particularly in freer, high‐income and MIT country groups. (3) Regarding the mechanisms, domestic investment, human capital accumulation and trade openness contribute positively to this indicator, while ageing does the opposite

China · Demographic economics · Development economics · Economic growth · Economic inequality · Economics · Geography · Human capital · Income inequality metrics · Inequality · Middle income trap · Openness to experience · Political science · Economic Growth and Productivity · Economic Theory and Policy · Fiscal Policy and Economic Growth