02013cas a2200265 a 4500 AALejournalIMF014465 230101c9999 xx r poo 0 0eng d 5.00 USD 9781498347815 1018-5941 BD-DhAAL BD-DhAAL Bruckner, Markus. National Income and Its Distribution / Markus Bruckner, Era Dabla-Norris, Mark Gradstein. Washington, D.C. : International Monetary Fund, 2014. 1 online resource (44 pages) IMF Working Papers <strong>Off-Campus Access:</strong> No User ID or Password Required <strong>On-Campus Access:</strong> No User ID or Password Required Electronic access restricted to authorized BRAC University faculty, staff and students Does the distribution of income within a country become more equal as it grows richer? This paper uses plausibly exogenous variations in trade-weighted world income and international oil price shocks as instruments for within-country variations in countries real GDP per capita to examine this issue for a large sample of advanced and developing countries. Our findings indicate that increases in national income have a significant moderating effect on income inequality: a one percent increase in real GDP per capita, on average, reduces the Gini coefficient by around 0.08 percentage points, a result that is robust across income levels, different time horizons, and alternative estimation techniques. From a policy perspective, our results suggest that education policies that promote equity and help individuals continue on to higher levels of education could help reduce income inequality. Mode of access: Internet Dabla-Norris, Era. Gradstein, Mark. IMF Working Papers; Working Paper ; No. 2014/101 Full text available on IMF http://elibrary.imf.org/view/journals/001/2014/101/001.2014.issue-101-en.xml IMF e-Library