Investigating the role of multilevel social capital in ethnic income inequality in the Chinese labour market

This study examines to what extent individual- and county-level social capital respectively and jointly explain the Chinese ethnic income inequality. Using two waves of the Chinese General Social Survey data, social capital is operationalised into extensivity, upper reachability, mean prestige, and range via the position generator. Results show that social capital is unevenly distributed along the ethnic line in China, minorities are in disadvantaged position in accessing social capital, especially the number of occupation accessed and mean occupational prestige, compared with Han. When cross-level interactions are taken into account, with the increase of county-level social capital, its positive effect on minorities’ income attenuates while it become stronger for Han’s income. The differential returns of social capital on income between minorities and Han may be attributable to the mean prestige of their accessed position networks. Finally, the Blinder-Oaxaca decomposition analysis uncovers that when all variables are controlled for, there is still approximately 24 % of the income gap between minorities and Han remained unexplained, indicating the severe ethnic wage penalty minorities are facing in the Chinese labour market.     

Economic growth and inequality in Singapore: The case for a minimum wage

In the context of Singapore's ageing population, the employment of large numbers of low‐skilled foreign workers is proving to be a major challenge to inclusive growth because of the stagnation of low‐wage workers' incomes. In order to address this problem, the author makes the case for introducing a minimum wage to complement existing in‐work benefit schemes. After addressing the commonly voiced objections to a minimum wage system, he suggests ways in which a minimum wage could be implemented in Singapore. New measures to enhance the social safety net and foster more sustainable economic growth are also proposed.     

A simultaneous equation model of economic development and income inequality

The paper extends existing work on inequality and economic development by estimating a cross-country structural model that identifies bi-directional relationships between income inequality and other indicators of social and economic development. Overall, lower inequality is associated with improvements in other development indicators, but this is the result of several complex interactions. The most striking feature of the structural model is the insight it provides into the reasons behind the negative ‘Africa dummy’ in previous cross-country growth studies.     

Trade openness and income inequality: New empirical evidence

We examine how trade openness influences income inequality within countries. The sample includes 139 countries over the period 1970–2014. We employ predicted openness as instrument to deal with the endogeneity of trade openness. The effect of trade openness on income inequality differs across countries. Trade openness tends to disproportionately benefit the relative income shares of the very poor, but not necessarily all poor, in emerging and developing economies. In most advanced economies, trade openness increased income inequality, an effect that is driven by outliers. Our results suggest a strong effect of trade openness on inequality in China and transition countries.     

Addressing economic vulnerability among low-income families in America: is the basic income approach a viable policy option?

ABSTRACT

Income instability characterizes the lives of many low-income families in America. Growing income inequality, wage stagnation, unstable jobs, and limited savings are only a few of the factors contributing to the chronic economic insecurity that many low-income families experience today. There has been a renewed interest in recent years in the idea of a basic income as a policy solution to address the problem of income instability. This brief provides an overview of the concept of basic income and discusses its strengths and limitations in promoting financial stability among vulnerable families in both the short- and long-term.     

Gender inequality and inter-household economic inequality in emerging economies: exploring the relationship

While most emerging economies have been characterised by persistence/growth of inter-household economic inequality in recent decades, and simultaneous poor performance on gender equality, the intersecting relationship between these two trends so far has not received much attention. This article is an initial attempt look at this relationship, showing how gender inequality has both contributed to, and been affected by, growing economic inequality. It focuses on eight emerging economies – Brazil, Russia, India, China, South Africa, Mexico, Indonesia, and Turkey (dubbed the BRICSAMIT countries). The article analyses Gini coefficient trends and Global Gender Gap Index trends, and draws in addition on insights gained from seven exploratory interviews with Oxfam colleagues and partners working on women's rights in the considered countries. It concludes with a reflection on the possible future policy agenda that would allow one to simultaneously address the issues of gender inequality and economic inequality in the analysed countries.     

Maid-in-Singapore: representing and consuming foreign domestic workers in Singapore cinema

The Maid, a Singapore-made horror film featuring a foreign domestic worker as its protagonist, was released in 2005 to very favourable reviews in the local press. The critical audience generally used the film to praise the development of the local film industry while ignoring the social commentary of the foreign domestic worker experience in Singapore. This paper aims to address this lack of commentary on the issues and circumstances surrounding foreign domestic service in The Maid. Doing so reveals a multilayered representation of order in Singapore based firmly on ethnicity and class, where the images of foreign maids are dramatised, reconstructed and consumed in various discursive forms by various social agents.     

An Extension of a Measure of Polarization, with an application to the income distribution of five OECD countries

We introduce an extension of the Esteban and Ray [Econometrica, 62:819–851 1994] measure of polarization that can be applied to density functions. As a by-product we also derive the Wolfson [Am. Econ. Rev., 84:353–358 1994] measure as a special case. This derivation has the virtue of casting both measures in the context of a (statistically) unified framework. We study the polarization of the distribution of household income for five OECD countries (LIS database): US, UK, Canada, Germany and Sweden. The present paper is essentially based on Esteban, Gradín and Ray [9], published as #218 in the working papers series of the Luxembourg Income Study. Changes have been kept to a minimum. We have provided a brief reference to the literature on polarization measurement that has appeared since then and have updated the data of our application.     

Higher education and challenging work: Open admissions and ethnic and gender differences in job complexity

While there has been much research on the influence of educational attainment on occupational status and earnings, relatively little is known about its impact on other qualities of work, such as job complexity. This article explores how educational credentials affect access to jobs that provide challenging work. To do so it uses longitudinal data on black, Hispanic, and white men and women who attended the City University of New York after it initiated its landmark open-admissions policy in 1970. That program was designed to boost educational attainments among disadvantaged minority students and to enhance opportunities for desirable jobs. Analyses reveal that overall the jobs held by these minorities involved less complex work than those held by whites. These inequalities are explained partly by disparities in educational attainment, but differences in employment sector also are important: the minorities were more often in the public sector, where work was generally less challenging. Gender differences in work complexity are related to the varying distribution of sex-typed jobs in the public and private sectors. Policies such as open admissions add to opportunity in the labor market, but effects are limited by wider institutional conditions.     

Restricted Lorenz dominance of economic inequality in one and many dimensions

The paper investigates Lorenz dominance and generalized Lorenz dominance to compare distributions of economic status in one and several attributes. Restrictions of these dominance relations are developed that focus on central parts of the distributions and facilitate their comparison.     

Class inequality and meritocracy: a critique of Saunders and an alternative analysis

Saunders' recent work claiming that contemporary British society is to a large extent 'meritocratic' is criticized on conceptual and technical grounds. A reanalysis of the National Child Development Study data-set, used by Saunders, is presented. This reveals that while merit, defined in terms of ability and effort, does play a part in determining individuals' class destinations, the effect of class origins remains strong. Children of less advantaged class origins need to show substantially more merit than children from more advantaged origins in order to gain similar class positions. These differences in findings to some extent arise from the correction of biases introduced by Saunders; but there are also features of his own results, consistent with those reported in the reanalysis, which he appears not to have fully appreciated.     

Inclusion in Singapore: a social model analysis of disability policy

A rhetoric of inclusion and increased social spending within a global context of austerity cuts has dominated disability policies in Singapore today. However, there is a lack of academic works that take a critical disability studies view towards the analysis of disability in Singapore. This work aims to address this gap by adopting a critical social model-led analysis of disability policies in Singapore. The article examines the rhetoric of inclusion, how disability is defined and its implementation through various policies in Singapore. It will examine the underpinnings of disability in Singapore today and its impact on the lives of disabled people.     

Inequality and welfare evaluation of heterogeneous income distributions

This paper establishes the principles that should govern the welfare and inequality analysis of heterogeneous income distributions. Two basic criteria – the equity preference condition and the compensation principle – are shown to be fundamentally incompatible. The paper favours the latter, thereby vindicating the traditional method of dealing with heterogeneous samples. However, inequality and welfare comparisons will usually be well defined only if equivalent incomes are obtained using constant scale factors; and researchers will need to distinguish clearly between inequality of nominal incomes and inequality of living standards. Furthermore, household observations must always be weighted according to family size.     

Accounting for income distribution trends: A density function decomposition approach

This paper develops methods for decomposing changes in the income distribution using subgroup decompositions of the income density function. Overall changes are related to changes in subgroup shares and changes in subgroup densities, where the latter are broken down further using elementary transformations of individual incomes. These density decompositions are analogous to the widely-used decompositions of inequality indices by population subgroup, except that they summarize multiple features of the income distribution (using graphs), rather than focusing on a specific feature such as dispersion, and are not dependent on the choice of a specific summary index. Nonetheless, since inequality and poverty indices can be expressed as PDF functionals, our density-based methods can also be used to provide numerical decompositions of these. An application of the methods reveals the multi-faceted nature of UK income distribution trends during the 1980s.     

Survey nonresponse and the distribution of income

The paper examines the distributional implications of selective compliance in sample surveys, whereby households with different incomes are not equally likely to participate. Poverty and inequality measurement implications are discussed for monotonically decreasing and inverted-U compliance-income relationships. We demonstrate that the latent income effect on the probability of compliance can be estimated from information on response rates across geographic areas. On implementing the method on the Current Population Survey for the U.S. we find that the compliance probability falls monotonically as income rises. Correcting for nonresponse appreciably increases mean income and inequality, but has only a small impact on poverty incidence up to poverty lines common in the U.S. Martin Ravallion: Corresponding author.     

Untangling the tolerance of socioeconomic inequality: Comparing Japan,the United States,South Korea,and the People's Republic of China

The last three decades have witnessed major institutional and structural transformations across both economically developed and developing countries. While many individuals and groups have benefited from these changes, they have simultaneously resulted in growing disparities between the haves and have-nots. The growing socioeconomic inequalities, however, have not been met with significant resistance and it has been even observed that people have become more tolerant of inequalities. This article explores the motivations behind tolerating socioeconomic inequality, and investigates how the tolerance of socioeconomic inequality has changed over the past 25 years, while also comparing it across very distinctive political and socioeconomic regimes. This study overcomes a gap in research by employing longitudinal, cross-sectional survey data to analyze temporal change in attitudes towards inequality. Fixed effects models are applied on five waves of World Values Survey data (1994–2020) on four distinctly different post-industrial countries: Japan, the People's Republic of China, South Korea, and the United States. The paper argues that, on an individual level, there is a tendency to accept inequality normalizing narratives and defend one's own self-interest, derived from one's structural position. This accounts for a considerable part of the variation in tolerance for socioeconomic inequality across these nations. The article concludes that trends in tolerating socioeconomic inequality have over time become more similar across these four countries with distinctly different political–economic regimes.     

If you look like me,I'll talk to you: a preliminary study of ethnic identity and inter‐ethnic interaction among women in Singapore

In Singapore, government policy is for equal but separate development of the four major ethnic groups—Chinese, Malay, Indian and other. In this study, I attempt to gain some preliminary views of how strongly women identify with their own ethnic group and how freely they are prepared to interact with people from other ethnic groups in non‐work‐related situations. I confine my study to females for two reasons. One is that traditional ethnic dress is common among females in Singapore but much rarer among men, and this makes a strong non‐verbal statement of identity. The second reason is to avoid differences between males and females, which I did not wish to pursue within the limits of this exploratory study. The findings of my pilot investigation indicate that intra‐ethnic spontaneous interaction is more likely to occur among women who display a strong national identity. Moreover, younger women, who were exposed during their school years to the government's recent drive to nurture ethnic and cultural differences, are less open to inter‐ethnic interaction than are women in their 30s and older, who grew up when the government drive was towards creating one common national identity for the people of Singapore.     

Income inequality,cultural capital,and high school students' academic achievement in OECD countries: A moderated mediation analysis

This study examines how social context, in this case, income inequality, shapes the role of cultural capital in educational success. First, we revisit the associations between (objectified) cultural capital and academic achievement, and cultural capital's role in mediating the relationship between family SES and academic achievement. More importantly, we explore how national-level income inequality moderates these two relationships. By analyzing a multilevel dataset of 32 OECD countries, a combination of PISA 2018 data and several national indexes, we find that: (1) cultural capital not only has a positive association with students' academic achievement but also acts as a significant mediator of the relationship between family SES and academic achievement in OECD countries; (2) both cultural capital's association with academic achievement and it's mediating role are stronger in more equal countries than in unequal ones. The findings shed new light on understanding how cultural capital shapes intergenerational education inequality across countries with different levels of inequality.     

Measuring poverty and inequality in northern Canada

We provide the first direct comparisons of poverty and inequality in the North (i.e. Yukon, Northwest Territories, Nunavut) with elsewhere in Canada. We do so by first constructing a northern equivalence scale. Based on an Engel methodology, we estimate the extra income needed by families in the North to devote the same share to necessities as those in southern Canada. Using econometric techniques and public use microdata from the Survey of Household Spending, we find that cost of living is 1.46 times higher in the North. We use this scale to adjust the incomes of northern residents so that purchasing power is, for the purposes of our model, equal to that in the South. We subsequently measure poverty and inequality in northern versus southern Canada over the period 1997–2009. Our findings indicate that incidence of poverty is much higher in the North. For example, 31.1% of northern families with children are poor, compared with 9.9% in the South. Moreover, while approximately 10% of the southern population is represented in each income decile, 31.1% of northern families with children are in the bottom 10%. Only 3% have incomes that would place them among the richest 10% of Canadians.     

Social capital and the reproduction of economic inequality in polarized societies

This paper explores the idea that the distribution of wealth across social groups fundamentally affects the evolution of economic inequality. By providing microfoundations suitable for this exploration, this paper hopes to enhance our understanding of when social forces contribute to the reproduction of economic inequality. In tackling this issue, this paper offers contributions in two domains. First, it models social capital as a real capital asset with direct use and collateral values. Second, it extends the concepts of identity, alienation and polarization originally advanced by Esteban and Ray (Esteban, J.M. and Ray, D.: On the measurement of polarization, Econometrica 62(4) (1994), 819–851). This generalization permits us to consider the multiple characteristics that shape social identity, inclusion and exclusion. It also underwrites a higher-order measure of socio-economic polarization that permits us to explore the hypothesis that economic inequality is most pernicious and persistent when it is socially embedded. Holding constant the initial levels of economic polarization and wealth inequality, we show that higher socio-economic polarization increases subsequent income and wealth inequality. Far from being a distributionally neutral panacea for missing markets, social capital in this model may itself generate exclusion and deepen existing economic cleavages.