Impact of globalization on income distribution inequality in 60 countries: Comments

In a recent article in the Global Economy Journal, Lei Zhou, Basudeb Biswas, Tyler Bowles and Peter J. Saunders (2011) have shown that globalization does not contribute to income inequality in a sample of 60 countries. In this comments we have demonstrated that their conclusion is misleading for improperly pooling countries with extremely different economic systems in their regression analyses. Specifically, only countries with sufficiently high level of development could expect to benefit from globalization as far as income distribution is concerned.