R&D intensity and income inequality in the G7: 1870–2016

Sefa Awaworyi Churchill, Bin Peng, Russell Smyth, Quanda Zhang

Research output: Contribution to journalArticleResearchpeer-review


We examine how R&D has contributed to income inequality in the Group of Seven countries from 1870 to 2016. Using newly developed panel data models that incorporate interactive fixed effects, we find that R&D is negatively associated with income inequality. Non-parametric models that allow us to capture the time-varying effect of R&D suggest that this average effect has been negative for most of this period. We find that economic growth and trade are important mechanisms through which R&D transmits to income inequality.

Original languageEnglish
Number of pages20
JournalScottish Journal of Political Economy
Publication statusAccepted/In press - 2021


  • G7
  • income inequality
  • panel data
  • R&D

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