Inequality and Social Policy

1
Inequality and Social Policy

• US in Comparative Perspective

2
Questions

• What trends in inequality are visible in the
  United States and other Advanced Industrial
  States?
• What are the effects of government policies and
  social spending efforts on inequality?
• Can demography explain differences in inequality?
  
• Does inequality of before tax and benefit income
  have anything to do with low social spending?

3
What trends in inequality are visible in the US
and other AIS?

• Figures 1-5
• US starts with highest level of inequality and
  increases
• Which nations have lowest level?
• Nordic countries?
• What about other Anglo-American countries?
• Inequality not as severe.

4
Does inequality of before-tax and benefit income
have anything to do with low social spending?

• There is a relationship between low social
  spending and before-tax and benefit income
  inequality
• Probably due to unequal access to education,
  health care, etc.

5
Effects of government policies and social
spending efforts?

• Figure 7, 8, 9
• US social policy does least of all policy regimes
  to reduce poverty

6
Can demography, low wages explain differences in
inequality?

• Low wages explains lower income bounds (figure
  10)
• Demography does not explain all cross-national
  differences