Navon, David and Cohen, Yoav (2013): Does high income inequality signify inequality of opportunities?

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Abstract
It is often presumed that Gini coefficient values taken to reflect high income inequality are largely due to some combination of socioeconomic factors that gives rise to inequality of opportunities. We demonstrate, using computer simulations, that practically every Gini value within the entire range observed in state economies can be approximated by at least one of a set of possible models of an economy in which earning is totally due to random factors. Although that clearly does not prove that opportunities are in reality fairly equal, it does suggest that inequality of opportunities is not necessary for high income inequality. At the least, it relegates the burden of proof to whoever ascribes the latter largely to the former.
Item Type:  MPRA Paper 

Original Title:  Does high income inequality signify inequality of opportunities? 
English Title:  Does high income inequality signify inequality of opportunities? 
Language:  English 
Keywords:  Gini, Lorenz, income inequality, inequality of opportunities 
Subjects:  D  Microeconomics > D3  Distribution > D31  Personal Income, Wealth, and Their Distributions D  Microeconomics > D6  Welfare Economics > D63  Equity, Justice, Inequality, and Other Normative Criteria and Measurement I  Health, Education, and Welfare > I3  Welfare, WellBeing, and Poverty I  Health, Education, and Welfare > I3  Welfare, WellBeing, and Poverty > I32  Measurement and Analysis of Poverty P  Economic Systems > P1  Capitalist Systems Y  Miscellaneous Categories > Y1  Data: Tables and Charts 
Item ID:  51408 
Depositing User:  Dr Yoav Cohen 
Date Deposited:  14 Nov 2013 20:04 
Last Modified:  28 Sep 2019 13:08 
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URI:  https://mpra.ub.unimuenchen.de/id/eprint/51408 