Why Is Europe More Equal than the United States?
Lucas Chancel
- Fonction : Auteur
- PersonId : 1198834
- IdHAL : lucas-chancel
- ORCID : 0000-0002-8803-3186
Amory Gethin
- Fonction : Auteur
- PersonId : 1093259
Résumé
This article combines all available data to produce pretax and post-tax income inequality series in 26 European countries from 1980 to 2017. Our estimates are consistent with macroeconomic growth and comparable with US distributional national accounts. Inequality grew in nearly all European countries, but much less than in the US. Contrary to a widespread view, we demonstrate that Europe’s lower inequality levels cannot be explained by more equalizing tax and transfer systems. After accounting for indirect taxes and in-kind transfers, the US redistributes a greater share of national income to low-income groups than any European country. “Predistribution,” not “redistribution,” explains why Europe is less unequal than the United States. (JEL D31, E01, H23, H24, H50, I38)
Domaines
Economies et financesFormat du dépôt | Notice |
---|---|
Type de dépôt | Article dans une revue |
Titre |
en
Why Is Europe More Equal than the United States?
|
Résumé |
en
This article combines all available data to produce pretax and post-tax income inequality series in 26 European countries from 1980 to 2017. Our estimates are consistent with macroeconomic growth and comparable with US distributional national accounts. Inequality grew in nearly all European countries, but much less than in the US. Contrary to a widespread view, we demonstrate that Europe’s lower inequality levels cannot be explained by more equalizing tax and transfer systems. After accounting for indirect taxes and in-kind transfers, the US redistributes a greater share of national income to low-income groups than any European country. “Predistribution,” not “redistribution,” explains why Europe is less unequal than the United States. (JEL D31, E01, H23, H24, H50, I38)
|
Auteur(s) |
Thomas Blanchet
1, 2, 3
, Lucas Chancel
1, 2, 3
, Amory Gethin
3, 2, 1
1
PSE -
Paris School of Economics
( 301309 )
- 48 boulevard Jourdan 75014 Paris
- France
2
PJSE -
Paris Jourdan Sciences Economiques
( 578027 )
- 48 boulevard Jourdan 75014 Paris
- France
3
WIL -
World Inequality Lab
( 1006727 )
- 48 boulevard Jourdan 75014 Paris
- France
|
Public visé |
Scientifique
|
Langue du document |
Anglais
|
Nom de la revue |
|
Vulgarisation |
Non
|
Comité de lecture |
Oui
|
Audience |
Internationale
|
Date de publication |
2022-10
|
Volume |
14
|
Numéro |
4
|
Page/Identifiant |
480-518
|
Mots-clés (JEL) |
|
Domaine(s) |
|
Projet(s) ANR |
|
DOI | 10.1257/app.20200703 |
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