Measuring inequality and welfare when some inequalities matter more than others

SERIES Working Papers N. 03/2024

49 Pages Posted: 7 Oct 2024

See all articles by Marc Fleurbaey

Marc Fleurbaey

Paris School of Economics

Domenico Moramarco

University of Bari

Vito Peragine

Università degli Studi di Bari “Aldo Moro” (UNIBA)

Date Written: September 02, 2024

Abstract

This paper proposes a unified framework to measure inequality and social welfare in the case in which both inequalities between groups and inequalities within groups matter, but priority is recognized to the former. This novel approach can be applied to a variety of contexts, including the analysis of inequalities of opportunity, ethnic discrimination and gender disparities. The empirical part of the paper analyzes two relevant cases: (i) the evolution of income inequality and ethnic discrimination in the United States during the period 1970-2014; (ii) the comparison of four European countries-Italy, Spain, France and Germany-in terms of inequality of opportunity.

Keywords: Inequality, social welfare, horizontal inequalities, inequality of opportunity, ethnic discrimination.

JEL Classification: D30, D63, I30

Suggested Citation

Fleurbaey, Marc and Moramarco, Domenico and Peragine, Vito, Measuring inequality and welfare when some inequalities matter more than others (September 02, 2024). SERIES Working Papers N. 03/2024, Available at SSRN: https://ssrn.com/abstract=4943824 or http://dx.doi.org/10.2139/ssrn.4943824

Marc Fleurbaey

Paris School of Economics ( email )

48 Boulevard Jourdan
Paris, 75014 75014
France

Domenico Moramarco (Contact Author)

University of Bari ( email )

Italy

Vito Peragine

Università degli Studi di Bari “Aldo Moro” (UNIBA) ( email )

Piazza Umberto I
Bari, 70121
Italy

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