The Impact of Monetary Policy on Income Inequality: Does Inflation Targeting Matter?

García, Francisco Javier Puente; Cross, Jamie

doi:10.2139/ssrn.4455243

2023

DOI: 10.2139/ssrn.4455243

|View full text |Cite

Preprint

The Impact of Monetary Policy on Income Inequality: Does Inflation Targeting Matter?

Francisco Javier Puente García¹,

Jamie Cross²

Help me understand this report

Search citation statements

Order By: Relevance

Paper Sections

Select...

Citation Types

Supporting

Mentioning

Contrasting

Year Published

2024

Publication Types

Select...

Article1

Relationship

Self Cite0

Independent1

Authors

Journals

Cited by 1 publication

References 14 publications

Supporting

Mentioning

Contrasting

Order By: Relevance

Further evidence on inflation targeting and income distribution

Thornton,

Vasilakis

2024

Southern Economic Journal

View full text Add to dashboard Cite

This paper examines the effect of inflation targeting (IT) on income distribution in a panel of 70 countries. Employing panel regressions and a variety of propensity score matching methods, we find strong evidence that incomes became more unequal in IT‐adopting countries relative to countries that did not adopt IT. Panel regressions suggest that Gini coefficients increased by 0.25%–0.57% and the share of income of the top 1% and 10% of households increased by 0.7% in IT adopter countries. Using propensity score matching methods, IT has been associated with a relative rise in Gini coefficients of about 1–2 percentage points, and a relative increase in the share of national income going to the top 1% and 10% of households by about 11–13 percentage points and 13–17 percentage points, respectively. The results are robust to changes in country sample and alternative estimation methodologies.

show abstract

Further evidence on inflation targeting and income distribution

Thornton,

Vasilakis

2024

Southern Economic Journal

View full text Add to dashboard Cite

show abstract

scite is a Brooklyn-based organization that helps researchers better discover and understand research articles through Smart Citations–citations that display the context of the citation and describe whether the article provides supporting or contrasting evidence. scite is used by students and researchers from around the world and is funded in part by the National Science Foundation and the National Institute on Drug Abuse of the National Institutes of Health.

Contact Info

customersupport@researchsolutions.com

10624 S. Eastern Ave., Ste. A-614

Henderson, NV 89052, USA

This site is protected by reCAPTCHA and the Google Privacy Policy and Terms of Service apply.

Blog Terms and Conditions API Terms Privacy Policy Contact Cookie Preferences Do Not Sell or Share My Personal Information

Made with 💙 for researchers

Part of the Research Solutions Family.

The Impact of Monetary Policy on Income Inequality: Does Inflation Targeting Matter?

Cited by 1 publication

References 14 publications

Further evidence on inflation targeting and income distribution

Further evidence on inflation targeting and income distribution

Contact Info

Product

Resources

About