What does Kuznets inverted U hypothesis show?

As per Kuznets inverted U hypothesis, initially the income inequality will worsen as the economy grows, and the income inequality will reduce at later stages of economic development. You can read about the Kuznets Curve – Explanation of the Kuznets curve, its Criticisms in the given link.

Further readings:

  1. Inflation in Economy- Types of Inflation, Inflation Remedies [UPSC Notes]
  2. Indian Economy Notes For UPSC Exam [Download PDFs]

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