While past labour market reforms have been successful in terms of employment, the relative poverty risk and income inequality have remained broadly unchanged in recent years. Some social groups remain
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ABSTRACT Using an input-output framework, this article studies the consequences of income redistribution from rich people either to poor people or to the government upon the sectoral structure of the
Income inequality has increased in most OECD countries over the past two decades. This is both because market incomes (wages, dividends, interest income) have become more unequally distributed, and al
Organisation for Economic Co-operation and Development40
We explore the transmission mechanism of income inequality to output. In the short run, higher inequality reduces output because marginal propensities to consume are negatively correlated with incomes