It was a part of the wisdom of mainstream economics that in the early stages of development inequality would rise but as growth persisted, it would, eventually, decline. Early evidence seemed to suggest that this pattern would be borne out. But, as time passed and growth persisted, inequality continued to grow, casting doubt on the received wisdom. The aim of this two-volume book is to analyze the current state of global and regional inequality, dissect the phenomenal increase in inequality that we have seen occur in recent times, and better understand the complex relationship between inequality and development. The political instability and conflict that we see around the world, arguably, has connection to economic deprivation of large segments of society and the perception of marginalization. This two-volume work acquires a special significance in the light of these developments.

List of Figures List of Tables Acknowlegments Notes on Contributors Preface: Inequality and Growth: A Preamble 1. New Theoretical Perspectives on the Distribution of Income and Wealth Among Individuals (Stiglitz, Joseph E.) 2. Reflections on the “Equity and Development” World Development Report Ten Years Later (Bourguignon, François) 3. Person Equivalent Headcount Measures of Poverty (Castleman, Tony (et al.)) 4. How Useful Is Inequality of Opportunity as a Policy Construct? (Kanbur, Ravi (et al.)) 5. Toward a New Definition of Shared Prosperity: A Dynamic Perspective from Three Countries (Dang, Hai-Anh H. (et al.)) 6. Behavioral Economics and Social Exclusion: Can Interventions Overcome Prejudice? (Hoff, Karla) 7. The Effects of Fiscal Redistribution (Battisti, Michele (et al.)) 8. Inequality of Happiness: Evidence of the Compression of the Subjective-Wellbeing Distribution with Economic Growth (Ifcher, John (et al.)) Index