scholarly journals Wage distribution in the period of economic growth with income distribution: The case of Brazil

2020 ◽  
Vol 67 (3) ◽  
pp. 361-384
Author(s):  
Baltar Troncoso

This paper analyses in detail the distribution of Brazilian wages in the period of economic growth with income distribution. Brazil presents a high structural heterogeneity that generates high wage inequality, and it is shown that wage differences within occupational categories are greater than wage differences between occupational categories. Higher GDP growth followed by an incomes policy that raised low wages reduced wage differences especially within occupational categories rather than wage differences between occupational categories.

2020 ◽  
Author(s):  
Paul Redmond ◽  
Karina Doorley ◽  
Seamus McGuinness

Abstract We use distribution regression analysis to study the impact of a 6% increase in the Irish minimum wage on the distribution of hourly wages and household income. Wage inequality, measured by the ratio of wages in the 90th and 10th percentiles and the 75th and 25th percentiles, decreased by approximately 8 and 4%, respectively. The results point towards wage spillover effects up to the 30th percentile of the wage distribution. We show that minimum wage workers are spread throughout the household income distribution and are often located in high-income households. Therefore, while we observe strong effects on the wage distribution, the impact of a minimum wage increase on the household income distribution is quite limited.


Author(s):  
Celia Lessa Kerstenetzky ◽  
Danielle Carusi Machado

After presenting general facts concerning the evolution of the labor market in Brazil over the 2004–2014 decade, this chapter documents the outstanding formalization process that took place, as well as its main consequences and driving forces. In this period, the Brazilian economy achieved sizable GDP growth rates. Although far below Chinese or Indian performances, in contrast to the experiences of the latter, Brazilian growth was notable for being (re)distributive (i.e. associated with important reductions in inequality). In particular, the new growth path was accompanied by a sustained expansion in formal employment, an increase in labor incomes, particularly of earnings at the bottom end of wage distribution, and a consistent decline in wage inequality. Thus, the chapter discusses some of the interventions that led to these achievements and the challenges now faced if these achievements are to be preserved or built upon.


Author(s):  
Carolina Troncoso Baltar ◽  
Lilian Nogueira Rolim ◽  
Eugenia Troncoso Leone

The Brazilian economy entered a deep recession in 2014, when the country’s GDP decreased, with negative consequences for the labour market. The aim of this paper is to analyse the effect of this recession on the country’s wage inequality, taking into account sex differences. The paper classifies employees in different groups considering occupational groups and the sectors of activities these workers belong to in order to verify who are the employees better inserted in the labour market and the ones who are in a more vulnerable situation, separating them by sex. The results show a high asymmetry and dispersion of wage distribution in Brazil. The economic recession of 2015-2016 reduced the country’s income inequality and the differences between men and women, because the share of workers with lower wages increased. However, wage differences in favour of men are still high, especially in occupations of high income and higher education requirements.


JEJAK ◽  
2015 ◽  
Vol 8 (1) ◽  
Author(s):  
Deky Aji Suseno

<p>Penelitian ini bertujuan melakukan analisis tipologi pertumbuhan ekonomi dan ketimpangan sektor di wilayah Kedung Sepur, yang selanjutnya dapat menerapkan strategi pengembangan perekonomian di wilayah Kedung Sepur berdasarkan tipologi pertumbuhan ekonomi dan ketimpangan sektor.Metode analisis menggunakan tipologi pertumbuhan ekonomi dan ketimpangan sektoral serta analisis deskriptif.Hasilnya adalah Kabupaten Demak dan Grobogan (Purwodadi) masuk pada klasifikasi daerah dengan pertumbuhan dan ketimpangan sektoral dibawah rata-rata.Kota dan Kabupaten Semarang masuk pada klasifikasi daerah dengan pertumbuhan PDRB dan ketimpangan sektoralnya diatas rata-rata.Sedangkan Kabupaten Kendal dan Kota Salatiga mempunyai pertumbuhan PDRB diatas rata-rata dan ketimpangan sektoralnya dibawah rata-rata.Fokus strategi pembangunan ekonomi yang harus dilakukan adalah sesuai dengan posisi klasifikasi daerah.Demak dan Grobogan fokus pada pertumbuhan ekonomi.Kota dan Kabupaten Semarang fokus pada pemerataan pendapatan sektoralnya.Kabupaten Kendal dan Kota Salatiga sudah baik, hanya perlu mempertahankan kondisi tersebut.</p><p>This study aimed to analyze the typology of economic growth and inequality in the region Kedung railroad sector, which in turn can implement economic development strategies in the region Kedung railroad based typology of economic growth and inequality sektor.Metode typology analysis using economic growth and sectoral imbalances and analysis is deskriptif.Hasilnya Demak and Grobogan (Purwodadi) entered in the classification of areas with growth and sectoral imbalances below the rata.Kota and Semarang district entered on the classification of regions with GDP growth and sectoral imbalances above the rata.Sedangkan Kendal and Salatiga has a GDP growth above average and below the average sectoral imbalances rata.Fokus economic development strategy that should be done is in accordance with the position classification and Grobogan daerah.Demak ekonomi.Kota focus on growth and Semarang District focus on income distribution sektoralnya.Kabupaten Kendal and had good Salatiga , only need to maintain these conditions.</p>


2017 ◽  
Vol 64 (2) ◽  
pp. 139-168 ◽  
Author(s):  
Claudio Amitrano

Between 2003 and 2012, South American economies experienced a period of relatively high growth rates. That performance was accompanied by considerable improvements in income distribution and poverty indicators. Nonetheless, structural heterogeneity remained one of the central characteristics of these economies. The aim of this paper is to analyze the role income distribution and the productive structure played in the economic growth of Argentina, Brazil, Chile, Colombia, Peru, Uruguay and Venezuela, for the period between 1990 and 2012.


2005 ◽  
pp. 4-20
Author(s):  
E. Yasin

Currency inflow in Russia from raw materials exports allows taking into account high business activity to assimilate growing money supply transforming it into economic growth. Fall in business activity as a result of pressure on business led to saturation of demand for money. This considerably increases the danger of inflation growth and requires sterilization of excess money supply including the usage of the Stabilization Fund. According to the author's estimates, corresponding losses in GDP growth will equal 1-2 percentage points per year.


2015 ◽  
pp. 42-59
Author(s):  
Saba Ismail ◽  
Shahid Ahmed

The research objective of this paper is to explore the empirical linkages between economic growth and foreign direct investment (FDI), gross fixed capital formation (GFCF) and trade openness in India (TOP) over the period 1980 to 2013. The study reveals a positive relationship between economic growth and FDI, GFCF and TOP. This study establishes a strong unidirectional causal flow from changes in FDI, trade openness and capital formation to the economic growth rates of India. The impulse response function traces the positive influence of these macro variables on the GDP growth rates of India. The study also reveals that the volatility of GDP growth rates in India is mainly attributed to the variation in the level of GFCF and FDI. The study concludes that the FDI inflows and the size of capital formation are the main determinants of economic growth. In view of this, it is expected that the government of India should provide more policy focus on promoting FDI inflows and domestic capital formations to increase its economic growth in the long-term.


2020 ◽  
Vol 7 (54) ◽  
pp. 205-217
Author(s):  
Mnaku Honest Maganya

AbstractTanzania, like most other developing countries, faces numerous economic challenges in striving to achieve sustainable economic growth and development through taxation. In the literature, the debate on how effective taxes are as a tool for promoting economic growth and economic development remains inconclusive, as various research have reported mixed effects of tax on economic growth. This article investigates the effect of taxation on economic growth in Tanzania using the recently developed technique of autoregressive distributed lag model (ARDL) bounds testing procedure for the period from 1996 to 2019. Various preliminary tests were conducted including stationary tests as well as the pair-wise Granger causality test. According to the results obtained, domestic goods and services (TGS) taxes are positively related to GDP growth and are statistically significant at 1% level. Income taxes, on the other hand, were found to be negatively related to GDP growth and to be statistically significant at 5% level. The pair-wise Granger causality results indicated that there is bidirectional Granger causality between TGS and GDP growth at 1 % significance level. The government should aim at growing, nurturing and sustaining tax base to positively drive economic growth even further.


The objective of this study was to empirically evaluate the returns to education of rural and urban labour markets workers in Tamil Nadu using the IHDS data with appropriate Econometric models. First, the present study estimated the earning functions of the rural and urban market's workers by OLS technique and standard Mincerian earning functions. Secondly, the quantile regression method was also used to examine the evolution of wage inequality. The findings of the study showed that the effects of education and experience on the log of hourly wages were positive, and these coefficients were statistically significant. The returns to education increased with the level of education and differed among the workers of rural and urban labour markets. The results showed that the rates of returns to primary, middle and higher secondary were higher in the urban market, whereas those of secondary and graduation were higher in the rural market. The study revealed that the effect of education was not the same across the rural and urban wage distribution. The rate of returns differed considerably within education groups across different quantiles of the wage distribution.


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