Titolo della tesi: Public Debt, Inequality and Economic Growth
The aims of this project are multiple and heterogeneous. Mainly it aims to contribute to the state of the art of literature regarding the relationship of wealth inequality within the economic system, while simultaneously providing a useful tool for the study of internal relationships within the economic system. The project is built as follows. Chapter 1 describes the state of the art of the analysis of the relationship between public debt and inequality. The theory supports the thesis of an interrelationship between public debt and inequality. However. empirical analysis focused only on the impact of inequality on public debt.
Chapter 2 describes the R package built for estimating the VEC model. This model is useful to treat the endogeneity and non-stationarity of the data. The package provides several functions to fit and check the robustness of the model and to perform causality analysis between the variables of interest. Chapter 3 applies the model described in Chapter 2 to study the interrelation between public debt and wealth inequality. We find evidence of a long-run equilibrium between wealth inequality and public debt but only the former is affected by a deviation from it. Chapter 4 makes a study of alternative measures of inequality capable of capturing the entire profile of the distribution. The final chapter draws the conclusions.