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This paper presents stylised facts on the labour supply and income inequality of individuals aged 25–55, drawn from the 1989–2020 Bank of Italy Survey of Household Income and Wealth. Over the sample period, earnings inequality has increased considerably although the gap is smaller when considered in terms of household disposable income. We investigate the possible drivers of this increase using administrative data on employees. The evidence suggests that labour market reforms implemented since the start of the 1990s are the most plausible explanation for this growth in earnings inequality. Comparison between earnings and disposable income suggests that both government and households are important for reducing inequalities.
Authors
Professor of Economics University of Milan

Tullio Jappelli
Senior Assistant Professor of Economics University of Naples Federico II
Senior Assistant Professor of Economics University of Naples Federico II
Journal article details
- DOI
- https://doi.org/10.1111/1475-5890.12385
- Publisher
- Wiley
- Issue
- Volume 45, Issue 3, October 2024, pages 377-392
Suggested citation
Checchi, D et al. (2024). 'Inequality trends in a slow-growing economy: Italy, 1990–2020' Fiscal Studies, 45(3/2024), pp.377–392.
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