Fiscal adjustment and income inequality: sub-national evidence by João Pedro Azevedo, Antonio David, Fabiano Rodrigues Bastos and Emilio Pineda published by IMF (5/2014). “We combine state-level fiscal data with household survey data to assess the links between sub-national fiscal policy and income inequality in Brazil over the period 1995-2011. The results indicate that a tighter fiscal stance at the sub-national level is not associated with a deterioration in inequality measures…”
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