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by nabla9 2958 days ago
There is some evidence that income inequality raises the economic growth of poor countries and decreases the growth of high- and middle-income countries.

See for example this OECD Economics Department Working Paper http://www.oecd.org/economy/growth-and-inequality-close-rela...

or this https://voxeu.org/article/effects-income-inequality-economic...

>Specifically, we find that, on average, a 1 percentage point increase in the Gini coefficient reduces GDP per capita by around 1.1% over a five-year period; the long-run (cumulative) effect is larger and amounts to about -4.5%.