Izvorni znanstveni članak
https://doi.org/10.3935/rsp.v33i1.87
Investigating the Link Between Income Distribution and Growth Volatility: Panel Analysis of Selected Countries
Nemanja Popović
orcid.org/0009-0003-5686-9362
; Ekonomski fakultet, Univerzitet Crne Gore, Podgorica, Crna Gora
*
Milena Konatar
; Ekonomski fakultet, Univerzitet Crne Gore, Podgorica, Crna Gora
Stevan Đurić
; Ekonomski fakultet, Univerzitet Crne Gore, Podgorica, Crna Gora
Milivoje Radović
; Ekonomski fakultet, Univerzitet Crne Gore, Podgorica, Crna Gora
* Dopisni autor.
Sažetak
This paper investigates the dynamic relationship between economic growth and income inequality, with a particular focus on how inequality levels shape countries’ resilience to crises. The central question is whether more equitable income distribution contributes to greater growth stability, especially during periods of financial turbulence. To address this, we estimate panel VECM models for 26 European and Asian countries over the period 1995–2022. The results indicate that countries with more equal income distributions did not experience more stable growth rates during crises, as confirmed by dynamic modeling and the Chow breakpoint test. Furthermore, the financial crisis shock was not observed in high-inequality countries, whereas it was present in lower-inequality countries. This outcome is linked to structural features, particularly the strength of the industrial base and domestic demand, which act as buffers against external shocks.
Ključne riječi
Economic growth; income inequality; panel data; 2008 financial crisis
Hrčak ID:
349550
URI
Datum izdavanja:
2.7.2026.
Posjeta: 4 *