1 Why Income Inequality is Here to Stay: Simulations from Sugarscape

Summary.- Studies suggest that a higher mean education and a lower education spread reduced income in-equality. This study found a negative relationship between mean education and inequality, and a positive relationship between the education variance and inequality, in line with most of the empirical correlations. We examine how education may affect inequality in the complexity framework. We employ Sugarscape simulation as a test. The results suggest that income disparity occurs due to differences in the incomes paid by different jobs, which is not affected by changes in the labour force’s educational level. Inequality is also induced by structural changes in the economy. There are two possible remedies: raisin