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We investigate the reasons why income inequality is so high in Spain in the EU context. We first show that the differential in inequality with Germany and other countries is driven by inequality among households who participate in the labor market. Then, we conduct an analysis of different household income aggregates. We also decompose the inter-country gap in inequality into characteristics and coefficients effects using regressions of the Recentered Influence Function for the Gini index. Our results show that the higher inequality observed in Spain is largely associated with lower employment rates, higher incidence of self-employment, lower attained education, as well as the recent increase in the immigration of economically active households. However, the prevalence of extended families in Spain contributes to reducing inequality by diversifying income sources, with retirement pensions playing an important role. Finally, by comparing the situations in 2008 and 2012, we separate the direct effects of the Great Recession on employment and unemployment benefits, from other more permanent factors (such as the weak redistributive effect of taxes and family or housing allowances, or the roles of education and the extended family).

A lack of sufficient gainful employment opportunities in developing countries means that those at the bottom of the income ladder resort to self-employment for survival. While self-employment equalises inequality by providing earning opportunities to such individuals due to the ease of entry, it also creates a competitive environment among the self-employed, consequently widening inequality. In light of this, the study aims to determine the optimal level at which self-employment narrows inequality.

Five-yearly average data from 72 developing countries covering 2000–2019 is used. Inequality measures include Gini, and self-employment includes total, male and female participation levels. The empirical analysis is based on the dynamic two-step system Generalized Method of Moments (GMM) estimation approach, two-stage instrumental variables (2 SLS IV) approach and Sasabuchi (1980) and Lind and Mehlum (2010) test. Several robustness checks are used to validate the findings.

Prima facie, the study's findings suggest that self-employment equalises inequality in developing countries. The income-equalising effect can be seen, however, when the total, male and female self-employment levels are below the optimal of 54.22% of total employment, 52.50% of male employment and 54.19% of female employment, respectively. Inequality widens when self-employment exceeds these optimal levels. Further, the income-narrowing effect of self-employment is larger than its income-widening effect. When self-employment is below its optimal level, it reduces inequality 80 times more effectively than when it widens above the optimal levels. The corresponding figures for male and female self-employment are 90 and 52, respectively. Second, the income-equalising effects of self-employment are gender-specific.

Developing countries striving to achieve SDG 10 should limit self-employment to the above-mentioned levels. To this end, an inclusive approach to reducing inequality requires these countries to use selective and targeted policy interventions to create gainful employment opportunities for those above the identified optimal levels and eventually assist them in utilising these opportunities.

To the best of the author’s knowledge, this is the first study to determine the optimal levels at which self-employment equalises income in developing countries. As such, it makes novel contributions to both labour and development economics.

The chapter deals with social inequalities in post-conflict and post-2007/2008 financial crisis Northern Ireland. From the late 1970s to the late 1990s, Northern Ireland was characterised by a Catholic/Protestant sectarian conflict and affected by marked political, economic and social discrepancies disadvantaging the Catholic minority.

The combined effects of the economic boom of the late 1990s and early 2000s, and of the signing of the 1998 Good Friday Agreement, improved the social and economic living conditions of Northern Ireland citizens and diversified the ethnic composition of the population, as immigrants were attracted by new opportunities offered in the booming Northern Ireland labour market. The 2007/2008 financial crisis was to curb these positive trends, although Northern Ireland’s economy has now recovered as its unemployment rate indicates.

In the light of this specific context, this chapter first examines key indicators of social inequalities in Northern Ireland: wealth, employment and housing. It then focuses on traditional indicators of Catholic/Protestant inequalities: education employment and housing. It finally examines to what extent the 1998 Good Friday Agreement, the 2006 St Andrew’s Agreement and the 2014 Stormont House Agreement have tackled the issue of social inequalities.

The coronavirus disease 2019 (COVID-19)-induced response policies initiated by the Indian states disproportionately impact the employment of different groups in terms of gender, caste and religion. This study analyses the impact of the COVID-19-induced labor policies on employment inequality across different groups in India.

The authors identify different exogenous COVID-19-induced labor policies initiated by the Indian states, and synthesize them into direct and indirect labor policies. The authors employ a panel model to examine the impact of COVID-19-induced labor policies on employment inequality.

The authors find that the direct and indirect labor policies induce a decline in the employment rate, and create employment inequality among gendered and religious sub-groups. Females and Muslims have not significantly benefited from the COVID-19-induced labor policies. However, disadvantaged caste groups have benefited from direct and indirect labor policies.

The time period during which this research was conducted was quite brief, and the qualitative impact of labor policies on employment inequality has not been accounted for.

This study unravels the distributive impact of the COVID-19-induced direct and indirect labor policies on the well-being of vulnerable laborers.

The study provides novel empirical evidence of the beneficial role of a proactive government. This study’s findings suggest the need for specific distributive labor policies to address employment inequality among gender and religious groups in India.

The study employs new data sources and synthesizes the COVID-19-induced labor policies into direct and indirect labor policies. In addition, the study contributes to understanding the impact of COVID-19 induced direct and indirect labor policies on employment inequality across gender, caste and religious sub-groups in India.

Constructing pseudo-panel data from successive Current Population Surveys, this paper analyzes earnings inequality in husband and wife families over the life cycle and over time. Particular attention is devoted to the role of labor supply in influencing measures of earnings inequality. Compact and accurate descriptions of earnings inequality are derived that facilitate the analysis of the effect of the changing market employment of wives on earnings inequality. The growing propensity of married women to work for pay has mitigated the increase in family earnings inequality. Alternative measures of earnings inequality covering people with different degrees of attachment to the labor market are constructed. Inferences about the extent and changes in earnings inequality are sensitive to alternative labor supply definitions especially in the case of wives.

This chapter assesses how gender and disability status intersect to shape employment and earnings outcomes for working-age adults in the United States.

The research pools five years of data from the 2010–2015 Current Population Survey to compare employment and earnings outcomes for men and women with different types of physical and cognitive disabilities to those who specifically report work-limiting disabilities.

The findings show that people with different types of limitations, including those not specific to work, experienced large disparities in employment and earnings and these outcomes also varied for men and women. The multiplicative effects of gender and disability on labor market outcomes led to a hierarchy of disadvantage where women with cognitive or multiple disabilities experienced the lowest employment rates and earnings levels. However, within groups, disability presented the strongest negative effects for men, which created a smaller gender wage gap among people with disabilities.

This chapter provides quantitative evidence for the multiplicative effects of gender and disability status on employment and earnings. It further extends an intersectional framework by highlighting the gendered aspects of the ways in which different disabilities shape labor market inequalities. Considering multiple intersecting statuses demonstrates how the interaction between disability type and gender produce distinct labor market outcomes.

This chapter presents an investigation into the theory of labour market segmentation and income inequality in the Ghanaian mining sector. Mining activity especially gold mining has been a significant component of exports as well as employment and income earning in the three major mining regions of Ghana. While income growth is an economic benefit, the high incomes associated with the mining sector may lead to greater income inequality. This chapter provides an analysis of mining activity and income inequality in the Western, Eastern, and Ashanti regions of Ghana. The application of labour market segmentation and the Gini coefficient (a measure of inequality) for personal income are found to be significantly associated with the type and levels of mining employment. However, this observation is not linear as income inequality initially increases with mining activity before decreasing at medium to high levels of mining employment, thus following a Kuznets curve pattern. Segregating datasets for indigenous and expatriate staff reveals very different patterns of income inequality. It poignantly increases with indigenous and/or local community personnel relative to expatriate technical personnel at high levels of mining employment; income inequality is lower among the local community residents relative to nationals from other regions and/or from neighbouring countries. This means segmented labour markets (SLM) within the mining industry are likely to be a problem as they result in increased income inequality among locales relative to foreign expatriates.

Gender inequality is one of the most concerning issues for a developing country like India. Gender inequality has many dimensions which are intricately related to the socioeconomic structure of the country. The chapter highlights two dominant factors leading to gender inequality in the country – education and employment. Empirical evidence suggests that the gross enrollment of females decreases from the upper primary level of schooling onwards. Moreover, higher education for women has not translated to higher employment post liberalization. India continues to be a country with one of the poorest female work participation ratios. Employment along with education is a key tool to improve the condition of women in our society. The chapter concludes that an integrated approach linking education of women and employment is essential for the reduction of gender inequality.

This study aims to empirically examine the impact of gender-based inequalities in both education and employment on economic performance using the dataset of Turkey for the period 1975–2018.

This study employs Johansen cointegration tests to analyze the existence of a long-term relation among variables. Furthermore, dynamic ordinary least squares (DOLS) and fully modified ordinary least squares (FMOLS) estimation methods are performed to determine the long-run coefficients.

The findings from the Johansen cointegration analysis confirm that there is a long-term cointegration relation between variables. Moreover, DOLS and FMOLS results reveal that improvements in gender equality in both education and employment have a strong and significant impact on real gross domestic product (GDP) per capita in the long term.

The authors expect that this study will make remarkable contributions to the future academic studies and policy implementation, as it examines the relation among the variables by including the school life expectancy from primary to tertiary based on the gender parity index (GPI), the gross enrollment ratio from primary to tertiary based on GPI and the ratio of female to male labor force participation (FMLFP) rate.

The purpose of this paper is to examine the impact of fiscal policy and institutional quality on the inclusive growth process of the selected developing Asian countries. Inclusive growth is a growth process which ensures that everyone is participating and benefited by growth process.

This study uses system generalized method of moment to address the problem of endogeneity and omitted variable bias.

Empirical results showed that both fiscal policy and institutions have positive effects on inclusive growth. Our empirical results confirmed that fiscal policy can work more efficiently in the presence of good quality institutions in the developing Asian countries.

Government should take measures to improve infrastructure, roads and transport system, and main share of government expenditures should be allocated to development, education and health projects. There is a need to transform the tax structure of the countries with the huge emphasis on the progressive tax system and this is likely to benefit the lower segment of the population. There is a need to develop institutions as they serve as a road map for the development of a country. There should be coordination between government policies and institutions. Supervision of fiscal policy through good institutions is needed for the proper allocation and utilization of public resources.

By restructuring the taxation system subject to the provision of quality institutions, government can incentivize entrepreneurs to make significant investments. This creates jobs for lower segment of a society, brings down poverty and increases the income level of a country. This increases the individual and collective welfare of an economy that ensures the inclusive growth within a country.

In this study, proxies used for fiscal policy are government expenditures and tax revenues as a percentage of gross domestic product (GDP) to examine its impact on the certain measures of inclusive growth such as employment, income inequality and GDP per capita. This study provides useful insights for the policy makers using fiscal policy to achieve the goal of inclusive growth in developing countries.