The vast empirical literature on the Kuznets curve has produced very contradictory results during the years, and its exact shape is controversial. In the present paper we aim to verify empirically the relationship between growth and inequality using Italian municipal data, following a spatial analytical approach that can provide hidden insights useful for policy-maker in de"ning local growth actions. We perform the analysis at dierent level of spatial aggregation (municipality, province, and region), dealing also with the Modi"able Areal Unit Problem. Our empirical results support the presence of a positive U-shape curve, suggesting the presence of a third phase of the Kuznets curve, where the service-knowledge transition impacts income inequality trends in a way similar to the agricultural-industrial transition of the past.
Per capita income and inequality: evidence from Italian tax data
Roberto Benedetti;Alessandro Pandimiglio;
2022-01-01
Abstract
The vast empirical literature on the Kuznets curve has produced very contradictory results during the years, and its exact shape is controversial. In the present paper we aim to verify empirically the relationship between growth and inequality using Italian municipal data, following a spatial analytical approach that can provide hidden insights useful for policy-maker in de"ning local growth actions. We perform the analysis at dierent level of spatial aggregation (municipality, province, and region), dealing also with the Modi"able Areal Unit Problem. Our empirical results support the presence of a positive U-shape curve, suggesting the presence of a third phase of the Kuznets curve, where the service-knowledge transition impacts income inequality trends in a way similar to the agricultural-industrial transition of the past.I documenti in IRIS sono protetti da copyright e tutti i diritti sono riservati, salvo diversa indicazione.
