Skip to Main Navigation

Big bad banks the impact of U.S. branch deregulation on income distribution (English)

Policymakers and economists disagree about the impact of bank regulations on the distribution of income. Exploiting cross-state and cross-time variation, the authors test whether liberalizing restrictions on intra-state branching in the United States intensified, ameliorated, or had no effect on income distribution. The analysis finds that branch deregulation lowered income inequality by affecting labor market conditions, not by boosting the business income of the poor, nor by enhancing educational attainment. Reductions in the earnings gap between men and women and between skilled and unskilled workers account for the bulk of the explained drop in income inequality.

Details

Downloads

COMPLETE REPORT

Official version of document (may contain signatures, etc)

  • Official PDF
  • TXT*
  • Total Downloads** :
  • Download Stats
  • *The text version is uncorrected OCR text and is included solely to benefit users with slow connectivity.

Citation

Beck, Thorsten Levine, Ross Levkov, Alexey

Big bad banks the impact of U.S. branch deregulation on income distribution (English). Policy Research working paper ; no. WPS 4330 Washington, D.C. : World Bank Group. http://documents.worldbank.org/curated/en/285961468328171349/Big-bad-banks-the-impact-of-U-S-branch-deregulation-on-income-distribution