Stock Market and Inequality Distributions – Evidence from the BRICS and G7 Countries

Journal article


Dang, D., Wu, W. and Korkos, I. (2024). Stock Market and Inequality Distributions – Evidence from the BRICS and G7 Countries. International Review of Economics & Finance. 92, pp. 1172-1190. https://doi.org/10.1016/j.iref.2024.02.067
AuthorsDang, D., Wu, W. and Korkos, I.
Abstract

By examining the effects of three stock market indicators (market accessibility, efficiency, and stability) on income and wealth inequality in the BRICS and G7 countries, this study enriches lacking literature on income and wealth inequality, particularly for the BRICS countries. We apply the Autoregressive Distributed Lag–Mixed Data Sampling (ADL-MIDAS) model. We find that only enhancements in market stability reduce income inequality in the BRICS and G7 countries. Additionally, we find that while expansions of market accessibility contribute to narrowing wealth inequality, improvements in market stability widen the wealth disparity in the BRICS countries. Limited effects of the stock market indicators on wealth distribution are observed in the G7 countries.

KeywordsMixed data samplingIncome inequalityWealth inequalityStock marketAutoregressive distributed lagBRICSG7
Year2024
JournalInternational Review of Economics & Finance
Journal citation92, pp. 1172-1190
PublisherElsevier
ISSN1873-8036
Digital Object Identifier (DOI)https://doi.org/10.1016/j.iref.2024.02.067
Web address (URL)https://www.sciencedirect.com/science/article/pii/S1059056024001473?via%3Dihub
Publication dates
Print23 Feb 2024
Publication process dates
Accepted21 Feb 2024
Deposited26 Feb 2024
Accepted author manuscript
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https://openresearch.lsbu.ac.uk/item/9677q

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