Wealth inequality in interwar Poland

Abstract

ABSTRACT In 1923 Poland introduced an extraordinary wealth tax. I have used internal statistics of the Ministry of the Treasury to estimate wealth inequality in interwar Poland. This data source was not previously used by researchers. There are no estimates of wealth inequality in interwar Poland available in the literature. According to my estimates, the top 0.01% of wealth owners controlled 14.8% of total private wealth. The wealth share of the top 1% stood at 37.5%. The top decile owned 60.7% of total private wealth. Wealth inequality varied strongly by region. A comparison of wealth inequality in Poland with wealth inequality in other European countries in the interwar period yields a diverse picture. The wealth share of the top 0.01% was the highest in Europe, the wealth share of the top 1% was in the middle of the European ranking, and the wealth share of the top 10% was almost the lowest in Europe. The small elite of super-rich (0.01%) controlled a higher share of national wealth than their European peers, but the wealth share of the rest of the top decile was relatively low. The unequal development of former partitions may partially explain the very high top wealth shares.