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Chapter 7

Long-Run Trends in the Distribution of Income and Wealth

Jesper Roine*; Daniel Waldenström^† ^* Stockholm Institute of Transition Economics, Stockholm School of Economics, Stockholm, Sweden^† Department of Economics, Uppsala University, Uppsala, Sweden

Abstract

This chapter reviews the long-run developments in the distribution of personal income and wealth. It also discusses suggested explanations for the observed patterns. We try to answer questions such as: What do we know, and how do we know, about the distribution of income and wealth over time? Are there common trends across countries or over the path of development? How do the facts relate to proposed theories about changes in inequality? We present the main inequality trends, ...

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