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Inequality of Opportunity and Economic Growth : A Cross-Country Analysis

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dc.contributor.authorFerreira, Francisco H.G.
dc.contributor.authorLakner, Christoph
dc.contributor.authorLugo, Maria Ana
dc.contributor.authorOzler, Berk
dc.date.accessioned2014-06-25T21:25:50Z
dc.date.available2014-06-25T21:25:50Z
dc.date.issued2014-06
dc.description.abstractIncome differences arise from many sources. While some kinds of inequality, caused by effort differences, might be associated with faster economic growth, other kinds, arising from unequal opportunities for investment, might be detrimental to economic progress. This study uses two new metadata sets, consisting of 118 household surveys and 134 Demographic and Health Surveys, to revisit the question of whether inequality is associated with economic growth and, in particular, to examine whether inequality of opportunity -- driven by circumstances at birth -- has a negative effect on subsequent growth. The results are suggestive but not robust: while overall income inequality is generally negatively associated with growth in the household survey sample, we find no evidence that this is due to the component associated with unequal opportunities. In the Demographic and Health Surveys sample, both overall wealth inequality and inequality of opportunity have a negative effect on growth in some of the preferred specifications, but the results are not robust to relatively minor changes. On balance, although the results are suggestive of a negative association between inequality and growth, the data do not permit robust conclusions as to whether inequality of opportunity is bad for growth.en
dc.identifierhttp://documents.worldbank.org/curated/en/2014/06/19646107/inequality-opportunity-economic-growth-cross-country-analysis
dc.identifier.doi10.1596/1813-9450-6915
dc.identifier.urihttps://hdl.handle.net/10986/18764
dc.languageEnglish
dc.language.isoen_US
dc.publisherWorld Bank, Washington, DC
dc.relation.ispartofseriesPolicy Research Working Paper;No. 6915
dc.rightsCC BY 3.0 IGO
dc.rights.urihttp://creativecommons.org/licenses/by/3.0/igo/
dc.subjectCIRCUMSTANCES AT BIRTH
dc.subjectECONOMIC GROWTH
dc.subjectINCOME INEQUALITY
dc.subjectINEQUALITY OF OPPORTUNITY
dc.subjectMETADATA SETS
dc.subjectUNEQUAL OPPORTUNITIES FOR INVESTMENT
dc.titleInequality of Opportunity and Economic Growth : A Cross-Country Analysisen
dspace.entity.typePublication
okr.crossref.titleInequality of Opportunity and Economic Growth: A Cross-Country Analysis
okr.date.disclosure2014-06-01
okr.date.doiregistration2025-04-10T10:33:54.390892Z
okr.doctypePublications & Research::Policy Research Working Paper
okr.doctypePublications & Research
okr.docurlhttp://documents.worldbank.org/curated/en/2014/06/19646107/inequality-opportunity-economic-growth-cross-country-analysis
okr.globalpracticePoverty
okr.guid171051468336289614
okr.identifier.doi10.1596/1813-9450-6915
okr.identifier.externaldocumentum000158349_20140610082638
okr.identifier.internaldocumentum19646107
okr.identifier.reportWPS6915
okr.language.supporteden
okr.pdfurlhttp://www-wds.worldbank.org/external/default/WDSContentServer/WDSP/IB/2014/06/10/000158349_20140610082638/Rendered/PDF/WPS6915.pdfen
okr.topicPoverty Reduction::Poverty Impact Evaluation
okr.topicServices and Transfers to Poor
okr.topicPoverty Reduction::Inequality
okr.topicPoverty Reduction::Equity and Development
okr.topicPoverty Reduction::Achieving Shared Growth
okr.unitOffice of the Chief Economist, Africa Region; and the Poverty and Inequality Team, Development Research Group
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