Income Inequality, In-Kind Benefits and Economic Growth: Studied Using a Modified Gini Index
A negative long-run relationship between inequality and growth has been found for a variety of inequality measures, but as these measures invariably ignore the pro-poor effect of in-kind redistribution, one may question the reliability of previous studies’ inequality-growth estimates. In this paper, I incorporate in-kind benefits into the Gini index and present new estimates of the inequality-grow