Comparison of global income distributions based on purchasing power parity and exchange rates.

The two central objectives of our project are to (1) empirically confirm that comparing exchange rate-based national incomes actually does overstate inter-country income inequality and (2) if it does so, find out the extent of the overstatement. Our empirical analysis relies on data from the Penn Wo...

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Bibliographic Details
Main Authors: Khoo, Gin Lin., Kwok, Sok Fong., Lim, Li Tuan.
Other Authors: Park, Donghyun
Format: Final Year Project
Published: 2008
Subjects:
Online Access:http://hdl.handle.net/10356/10828
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Institution: Nanyang Technological University
Description
Summary:The two central objectives of our project are to (1) empirically confirm that comparing exchange rate-based national incomes actually does overstate inter-country income inequality and (2) if it does so, find out the extent of the overstatement. Our empirical analysis relies on data from the Penn World Tables (PWT) and the International Financial Statistics (IFS) for the period 1960 to 1995.