Wellbeing inequality in retrospect

Rising trends in GDP per capita are often interpreted as reflecting rising levels of general wellbeing. But GDP per capita is at best a crude proxy for wellbeing, neglecting important qualitative dimensions. This column explores the long-term trends in global wellbeing inequality using a new dataset. Inequality indices reflecting various aspects of wellbeing are shown to have been declining since WWI, unlike real GDP per capita inequality. Leandro de la Escosura (Universidad Carlos III) writes on his recent paper for the 2nd annual LSE-Stanford-Universidad de los Andes Conference on Long-Run Development in Latin America.