International Congress on Eurasian Economies
19-20 September 2023 – İzmir - TURKEY
Paper properties
Paper ID : 2716
Status : Paper published
Language : Turkish
Topic : Growth and Development
Presenter: Assoc. Prof. Dr. Mustafa Batuhan Tufaner
Session : 4B Kalkınma
The Relationship between Economic Development and Income Inequality in MIST (Mexico, Indonesia, South Korea, Türkiye) Countries: Panel Quantile Analysis
MIST (Meksika, Endonezya, Güney Kore, Türkiye) Ülkelerinde Ekonomik Kalkınma ve Gelir Dağılımı İlişkisi: Panel Kantil Analizi
- Assoc. Prof. Dr. Mustafa Batuhan Tufaner (Istanbul Beykent University, Türkiye)
- Prof. Dr. İlyas Sözen (Dokuz Eylül University, Türkiye)
Abstract
Economic development and income distribution are among the most discussed topics in the economics literature. The relationship between economic development and income distribution becomes more important, especially considering the lack of resources in developing countries. In the study, the relationship between economic development and income distribution was analyzed in MIST countries (Mexico, Indonesia, South Korea, and Türkiye) for the period 1990-2019. In the study, in which the panel quantile regression estimator was used, the study reveals first that economic development reduces income inequality. Second, globalization can influence income inequality in various ways. While trade openness, which is one of the two indicators of globalization, reduces income inequality, foreign direct investment inflows, which is another indicator, increase income inequality. Third, the increase in industrialization, which is an indicator of technological development, increases income inequality.
JEL codes: O10, O15, C35
Tufaner, Mustafa Batuhan, Sözen, İlyas (2023). "The Relationship between Economic Development and Income Inequality in MIST (Mexico, Indonesia, South Korea, Türkiye) Countries: Panel Quantile Analysis" in Proceedings of International Conference of Eurasian Economies 2023, pp.263-270, İzmir - TURKEY.
DOI: https://doi.org/10.36880/C15.02716
