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Explaining Income Inequality Trends in Post-Socialist Countries

Mon, August 22, 8:30 to 10:10am, TBA

Abstract

Before the collapse of the Soviet Union in 1991, socialist systems were successful in achieving relatively low income inequality when compared to other countries with similar levels of development. However, after the market transition began, income inequality increased throughout the region. There are many reasons for this increase, including the increasing size of the private sector, sector dualism between the state and private sectors, welfare state retrenchment and increasing direct foreign investment. However, the impact of political regime is rarely considered by transition scholars. This project will examine the interaction of democracy with both foreign direct investment and discrimination against ethnic minorities.

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