Structural reforms and income distribution: new evidence for OECD countries

Wiese, Rasmus; Jalles, João Tovar; de Haan, Jakob

doi:10.1093/oep/gpae002

Title: Structural reforms and income distribution: new evidence for OECD countries

Journal Article · 06 February 2024 · Oxford Economic Papers

DOI: https://doi.org/10.1093/oep/gpae002 · OSTI ID:2290403

Wiese, Rasmus; Jalles, João Tovar; de Haan, Jakob

Abstract This article examines the impact of labour market and product market reforms on income inequality for 25 OECD countries between 1970 and 2020, using the local projections approach and an updated narrative-based dataset of the reform indicators. Our results suggest that both types of (endogenized) market-oriented reforms increase income inequality, but the effects are small. Consistent with this finding is that counter-reforms lead to less income inequality. Our results also indicate that the inequality-increasing effect of market-oriented reforms is mostly a result of more income going to the top of the income distribution.

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Sponsoring Organization:: USDOE Office of Nuclear Energy (NE), Nuclear Fuel Cycle and Supply Chain

OSTI ID:: 2290403

Journal Information:: Oxford Economic Papers, Journal Name: Oxford Economic Papers Journal Issue: 4 Vol. 76; ISSN 0030-7653

Publisher:: Oxford University PressCopyright Statement

Country of Publication:: United Kingdom

Language:: English

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