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- W3215676150 abstract "Incomes are more unequally distributed in ethnically diverse populations than in more homogenous ones. In this paper, I help explain this pattern by showing that unanticipated inflation reduces the income share of the poor in ethnically fractionalized countries, while increasing it in ethnically homogenous populations. I propose a mechanism to explain the result, where inflation-hedging among the rich is more prevalent in ethnically fractionalized countries because inflation is more volatile. To identify episodes of unanticipated price increases, I construct a novel data set of inflation shocks across 189 countries, using the revisions to the inflation forecasts in IMFs World Economic outlook between spring and fall reports." @default.
- W3215676150 created "2021-12-06" @default.
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- W3215676150 date "2022-03-01" @default.
- W3215676150 modified "2023-09-26" @default.
- W3215676150 title "Inflation news and the poor: The role of ethnic heterogeneity" @default.
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- W3215676150 doi "https://doi.org/10.1016/j.worlddev.2021.105751" @default.
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