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Citation Information

Type Journal Article - The Journal of Economic Inequality
Title Growth with equity: income inequality in Vietnam, 2002-14
Author(s)
Volume 15
Issue 1
Publication (Day/Month/Year) 2017
Page numbers 25-46
URL https://www.econstor.eu/bitstream/10419/161015/1/dp10392.pdf
Abstract
We use the 2002 through 2014 Vietnam Household Living Standards Surveys to construct
comparable measures of household income and estimates of income inequality over this
high-growth period. We focus on two questions: How have benefits from growth been
distributed; and do changes in the structure of the economy map into changes in inequality?
We explore dimensions in which inequality may vary, notably urban versus rural, and by
ethnic status. We also decompose inequality by income source to highlight key factors
underlying the relatively low levels of inequality during this period. We find that agricultural
opportunities played an important role in dampening inequality, but more important has been
the steady development of wage-labor markets in both urban and rural areas. An important
caveat to the generally rosy picture we paint is the deteriorating position of ethnic minorities.
Finally, we draw comparisons with China and document key differences in their growthinequality
experience.

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