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DP3470 Inflation and Inequality

Author(s): Stefania Albanesi
Publication Date: July 2002
Keyword(s): inflation , inequality , distributional conflict , fiscal policy , bargaining
JEL(s): D70 , E00 , E40 , E50 , E60 , H20 , H30
Programme Areas: International Macroeconomics , Public Policy
Link to this Page: www.cepr.org/pubs/dps/DP3470.asp


Cross-country evidence on inflation and inequality suggests that they are positively correlated. I explore the hypothesis that this correlation is the outcome of a distributional conflict underlying the determination of fiscal policy.

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