The dynamics of concentration and inequality in Spanish industries (1990‐2001)

This study develops a systematic analysis of the concentration and inequality levels of 20 Spanish industries over the period 1990‐2001. The methodology traced is based on the use of indices both for evaluating the inequality (Gini,MRD&Coefficient of Variation), and for studying the concentration (Herfindahl‐Hirchman, Theil & Hannah‐Kay). This article adopts a dynamic approach, through the Distributional Change Index. The analysis confirms the different behaviour within the durable and non‐durable goods groups of Spain’s industries. Significant differences also appear with respect to the characterisation of the sectors. These characteristics are centred on the intensity of capital and skill, the capacity for technological development and the intensive use of agricultural inputs. Another of the most relevant conclusions is that referring to the increase competition of certain industries in Spain, particularly those belonging to the non‐durable goods group.