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Handbook of Income Distribution by Francois Bourguignon, Anthony B. Atkinson

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Chapter 20

Globalization and Inequality

Ravi Kanbur    Cornell University, Ithaca, NY, USA

Abstract

To what extent can increasing inequality be explained by globalization? And if there is a connection, what if anything can and should be done about it? This chapter begins with an overview of how conventional trade theory has fared in predicting changes in inequality and how it has needed to be extended and expanded when, contrary to some received wisdom, greater global integration is associated with increasing inequality in developed and developing countries. From there, the chapter goes well beyond these concerns to take in the effects of crises on inequality, globalization and gender inequality, openness and spatial inequality, and the effect ...

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