Income Inequality and Economic Development: A Comparative Analysis of OECD Countries

Abstract

Income inequality is a critical issue that has significant implications for economic development and social cohesion. This paper presents a comparative analysis of income inequality across OECD countries and examines its relationship with various indicators of economic development. Using data from multiple sources, including the OECD Income Distribution Database and World Bank, the paper explores trends in income inequality over time and across countries, identifies factors contributing to income inequality, and assesses its impact on economic growth, poverty reduction, and social outcomes. The findings highlight the complex relationship between income inequality and economic development, with some countries experiencing high levels of inequality despite strong economic growth, while others achieve more equitable outcomes. The paper concludes with policy implications and recommendations for addressing income inequality and promoting inclusive growth in OECD countries.