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Author:Podder, N.
Title:Relative deprivation, envy and economic inequality
Journal:Kyklos
1996 : VOL. 49:3, p. 353-376
Index terms:SOCIAL WELFARE
DISTRIBUTION OF WEALTH
INEQUALITY
CONFLICT
INCOME DISTRIBUTION
Language:eng
Abstract:Most economists identified the sociological concept of relative deprivation with the economic concept of income inequality. In the present paper the author has demonstrated that the two concpts differ in a significant way. Relative deprivation is shown to be a non-linear and non-monotonic function of any measure of inequality. As a result, a high degree of economic inequality may correspond to a low degree of relative deprivation. While a small transfer of income from rich to poor alwalsy reduces inequality it may, in fact, increase relative deprivation. Thus, the latter concept violates the so called Pigou-Dalton condition. The similar situation may be observed in the economic measurement of envy. Thus, the concept of relative deprivation is identified with a special case of the concept of envy.
SCIMA record nr: 149268
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