Some macro-prudential policies may increase income inequality – DNB paper

Netherlands Bank
The Netherlands Bank
Rachael King

Some kinds of macro-prudential policy appear to be positively correlated with increased inequality, a paper published by the Netherlands Bank finds.

In Macroprudential policy and income inequality, Jon Frost and René van Stralen run panel regressions on data from 69 countries from 2000 to 2013.

Each set of regressions looks at possible links between a country’s macro-prudential policies and the Gini coefficient of income inequality. They examine both “market income inequality”, which they

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