[go: up one dir, main page]
More Web Proxy on the site http://driver.im/
IDEAS home Printed from https://ideas.repec.org/a/voj/journl/v67y2020i3p309-331id1190.html
   My bibliography  Save this article

Institutional reforms and Income Distribution: Evidence from Post-transition EU Countries

Author

Listed:
  • Kosta Josifidis
  • Novica Supic
  • Slađana Bodor
Abstract
This paper provides an explanation of income dynamics in the post-transition EU countries from the perspective of institutional changes. As a result of seemingly-unrelated regressions analysis on panel data from 1990-2014, we find robust evidence of the relationship between income shares and institutional reforms. The impact of reforms on the top and below-average income shares is negative, whereas this effect on above above-average income share is positive. Decline of income share for the richest class during the post-transitional period can be attributed to the loss of privileges associated with the existence of an institutional vacuum in the first years of transition. Although transition increased wages for workers at the end of income distribution, the job losses had a stronger effect than wage increase, so the overall effect on income share of this group is negative. The winners of reforms appear as the workers with above-average income, whose skills are complementary to the changes instituted by transition to market economy and integration in the EU.Key words: Institutional changes, Income inequality, European Union, Post-transition countries.JEL: D63, O15, P30.

Suggested Citation

  • Kosta Josifidis & Novica Supic & Slađana Bodor, 2020. "Institutional reforms and Income Distribution: Evidence from Post-transition EU Countries," Panoeconomicus, Savez ekonomista Vojvodine, Novi Sad, Serbia, vol. 67(3), pages 309-331.
    • Handle: RePEc:voj:journl:v:67:y:2020:i:3:p:309-331:id:1190
    as

    Download full text from publisher

    File URL: https://panoeconomicus.org/index.php/jorunal/article/view/1190/594
    Download Restriction: no
    ---><---

    More about this item

    Keywords

    Institutional changes; Income inequality; European Union; Post-transition countries;
    All these keywords.

    JEL classification:

    • D63 - Microeconomics - - Welfare Economics - - - Equity, Justice, Inequality, and Other Normative Criteria and Measurement
    • O15 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Economic Development: Human Resources; Human Development; Income Distribution; Migration
    • P30 - Political Economy and Comparative Economic Systems - - Socialist Institutions and Their Transitions - - - General

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:voj:journl:v:67:y:2020:i:3:p:309-331:id:1190. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Ivana Horvat (email available below). General contact details of provider: https://panoeconomicus.org/index.php/jorunal/ .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.