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Abstract

This paper examines the relationship between countries' bilateral trade with the United States that is not due to gravity (non-gravity trade) and the distribution of income within countries. In countries where only a small share of the population are educated, an increase in non-gravity trade is associated with a significant increase in income inequality. As education of the population increases the correlation between non-gravity trade and income inequality becomes smaller. Non-gravity trade has no significant effect on income inequality in countries that are world leaders in education.

Item Type:	Article
Authors/Creators:	Brueckner, M and Van Long, N and Vespignani, J
Keywords:	non-gravity trade, inequality, education
Journal or Publication Title:	Applied Economics
Publisher:	Routledge Taylor & Francis Ltd
ISSN:	0003-6846
DOI / ID Number:	https://doi.org/10.1080/00036846.2022.2027862
Copyright Information:	© 2022 Informa UK Limited, trading as Taylor & Francis Group
Related URLs:	Google Scholar: Vespignani, J UTAS Profile: Vespignani, J
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