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Abstract

Over the past decade, global output has grown by more than 3 percent a year and inflation has slowed in most regions. The fruits of this growthhave not been shared equally, however, and income disparities have grownin many countries, developed as well as developing. One of the mostpressing issues facing policymakers today is how to respond to these trends. To what extent are growth and equity complementary, and to whatextent is there a trade-off between the two? This Economic Issue is a summary version of an Issues Paper circulated at the IMF Conference on Economic Policy and Equity, held on June 8-9, 1998, at IMF headquarters.

© 1998 International Monetary Fund

Production: IMF Graphics Section

Cover design: Massoud Etemadi

Typesetting: Victor Barcelona, Julio R. Prego

ISBN 9781557757906

ISSN 1020-5098

Published December 1998

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Preface

The Economic Issues series aims to make available to a broad readership of nonspecialists some of the economic research being produced on topical issues by IMF staff. The series draws mainly from IMF Working Papers, which are technical papers produced by IMF staff members and visiting scholars, as well as from policy-related research papers.

This Economic Issue is a summary version of an Issues Paper circulated at the IMF Conference on Economic Policy and Equity, held on June 8-9, 1998, at IMF headquarters. It was prepared by the IMF Fiscal Affairs Division with contributions from Sanjeev Gupta, Benedict Clements, Robert Gillingham, Christian Schiller, Marijn Verhoeven, Rosa Alonso-Terme, and Alexandros Mourmouras; both the Issues Paper and this pamphlet are available on the IMF’s Internet site at http://www.imf.org. The conference volume Economic Policy and Equity will be published in early 1999, when it can be purchased from IMF Publication Services.

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