Abstract
In this paper, we discuss about relationships between “equality of result” and economic development. For this purpose, the model of “the low-level equilibrium trap” by R. Nelson is reviewed, and the consequences are investigated from a viewpoint of “equality of result”. Because “a income per capita-investment per capita” curve can be considered as a composition of an individual's “income-investment” curve, so we analyze mathematically the effect of income inequality for a composition. And two propositions are reduced. First, when an income distributes in perfectly equal, investment per capita is minimized for any income-investment curve and for any income distribution. Second, when an income distributes Pareto's, the more inequality of an income, the more investment per capita. And generalizing income-investment curves to input-output curves, we find that the type of curves changes the two propositions.
At last, we discuss the type of input-output curves can relate to degree of “equality of opportunity”, and then classify the set of “equality of opportunity”, “equality of result” and “efficiency”.
