Income Inequality and Current Account Imbalances

Working Paper No. 12/8

Income Inequality and Current Account Imbalances
This paper studies the empirical and theoretical link between increases in income inequality and increases in current account deficits. Cross-sectional econometric evidence shows that higher top income shares, and also financial liberalization, which is a common policy response to increases in income inequality, are associated with substantially... READ MORE...

Publication date: January 2012
ISBN 9781463930578
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Publication date: January 2012

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Publication date: January 2012

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