Browsing by Subject "Income distribution"

Now showing 1 - 12 of 12

Open Access
Approaches for inequity-averse sorting
(Elsevier, 2016) Karsu, Ö.
In this paper we consider multi-criteria sorting problems where the decision maker (DM) has equity concerns. In such problems each alternative represents an allocation of an outcome (e.g. income, service level, health outputs) over multiple indistinguishable entities. We propose three sorting algorithms that are different from the ones in the current literature in the sense that they apply to cases where the DM's preference relation satisfies anonymity and convexity properties. The first two algorithms are based on additive utility function assumption and the third one is based on the symmetric Choquet integral concept. We illustrate their use by sorting countries into groups based on their income distributions using real-life data. To the best of our knowledge our work is the first attempt to solve sorting problems in a symmetric setting.
Open Access
Effect of international credits on income distributions of developing countries : a panel data analysis
(2006) Alus, Koray
Today, international credits are among the key ingredients of the growth strategies pursued by the developing countries and the investigation of the relationship between international credits and income distribution is of special importance when the effectiveness of such flows are evaluated. In this study, we examine the effect of international credits, including those disbursed by the World Bank (WB) and the International Monetary Fund (IMF), on the income distribution in developing countries using data for years 1961-1996 for 63 countries, with maximum of 163 country-year observations and panel data estimation procedure. Our results briefly indicate that the WB loans do not appear to have reduced inequality in the countries in our sample. Comparing the performance of the WB group to that of the IMF, we find that credits originated from the IMF have a significant improving effect on the income distribution; which is stronger in the transition countries. Our results also point out that the presence of high rates of inflation appears to aggravate inequality. Additionally, our findings support the empirical literature that there exists a positive relationship between the level of income and inequality in the early stages of development. Moreover, evidence from our regressions show that economic growth has not got a significant impact on income distribution. Finally, our results show that the inclusion of the governance variables leaves the former results intact, that is improvement in the governance measures has not sufficed to contribute to equality in distribution in the countries examined in this study.
Open Access
The impact of financial liberalization and the rise of financial rents on income inequality: the case of Turkey
(Oxford University Press, 2004) Yeldan, A. E.
This is the third of five country case studies on income inequality, and investigates the impact of financial liberalization and the rise of financial rents on income inequality in Turkey. The chapter has five sections: Introduction; Indicators of Income Distribution: The Evidence-a broad overview, and evidence on the patterns of income distribution in Turkey over the last three decades; Macroeconomic Adjustment under Financial Liberalization and the Rise of Financial Rents-a discussion of the evolution of functional categories of income that includes an account of the macroeconomic adjustment; The Rising Fiscal Gap and the Role of the State in Regulating the Distributional Structure-a detailed analysis of the rise in public sector deficits and the distributive consequences of the widening fiscal gap; and Concluding Comments and Overall Assessment. Sect. 3 looks at the inherent tensions caused by the macroeconomic disequilibria embodied in the process of integration with world markets under conditions of a poorly supervised banking system and underdeveloped and fragile domestic asset markets; here, it is found to be analytically convenient to decompose the path of Turkish liberalization after 1980 into two major subperiods partitioned by the strategic step of capital account deregulation-which took place in 1989 and was completed by the full integration of the domestic market into global financial markets. This section also studies the patterns of the wage cycle and productivity growth using quantitative filtering techniques, and reports on the disassociation of labour remunerations from the productivity gains in the real sphere of the economy. © United Nations University/World Institute for Development Economics Research (UNU/WIDER) 2004. All rights reserved.
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İncome inequality ; A cross-national study of the relationships between mnc-penetration, dimensions of the power structure and income distribution
(1979) Bornschier, Volker
Open Access
Income inequality and economic convergence in Turkey: a spatial effect analysis
(Sage Publications, 2009) Yildirim, J.; Öcal, N.; Özyildirim, S.
Even though the convergence of regional per capita income has been a highly debated issue internationally, empirical evidence regarding Turkey is limited as well as contradictory. This article is an attempt to investigate regional income inequality and the convergence dynamics in Turkey for the time period 1987-2001. First, the Theil coefficient of concentration index is used to analyze the dispersion aspects of the convergence process. The geographically based decomposition of inequality suggests a strong correlation between the share of interregional inequality and spatial clustering. Then, we estimate convergence dynamics employing alternative spatial econometric methods. In addition to the global models, we also estimate local models taking spatial variations into account. Empirical analysis indicates that geographically weighted regression improves model fitting with better explanatory power. There is considerable variation in speed of convergence of provinces, which cannot be captured by the traditional beta convergence analysis.
Open Access
Inflation targeting, employment creation and economic development: assessing the impacts and policy alternatives
(Routledge, 2008) Epstein, G.; Yeldan, E.
Inflation targeting (IT) has recently become the dominant monetary policy prescription for both developing and industrialized countries alike. Emerging market governments, in particular, are increasingly pressured to follow IT as part of their International Monetary Fund (IMF)-led stabilization packages and the routine rating procedures of the international finance institutions. However, the common expectation of IT promoters that price stability would ultimately lead to higher employment and sustained growth has failed to materialize. Generally, the current growth patterns of the world economy are too concentrated and uneven to generate sufficient capital investment and reduce unemployment. To contribute to the task of designing a more socially desirable macroeconomic policy environment, we offer concrete country case studies that devise viable alternatives to inflation targeting central bank policies in order to promote employment, sustained growth and improved income distribution.
Open Access
The major determinants of high growth rates in East Asian economies
(1996) Çetin, Bülent
The Major Determinants of High Growth Rates in east Asian Economies Bülent Çetin MA. in Economics Supervisor: Asst. Prof. İzak Atiyas 72 Pages July, 1996 This Thesis investigates major reasons behind the superior growth rates of East Asian Economies after the 1960s. Cross Country evidence supports the following investment led hypothesis : Korea, Taiwan, Malaysia, Thailand, Japan, Singapore, Hong Kong, and Indonesia experienced high economic growth rates mainly because of their good investment performance. In the early 1960s these eight economies shared a set of good initial conditions. All these economies had a well educated labor force with respect to their income levels. Moreover, the degree of equality in income and land distribution was high around 1960. The skilled labor force increased productivity of investment. The equal income and land distribution contributed to the creation of political stability. In turn, political stability and macroeconomic stability positively affected their investment performance.
Open Access
Optimal fiscal decentralization: Redistribution and welfare implications
(Elsevier, 2017) Aslim, E. G.; Neyapti, B.
The literature has been inconclusive regarding the welfare effects of fiscal decentralization (FD), defined here as the extent to which local governments collect and spend local tax revenues. We present an original model to investigate formally the distributional and welfare implications of FD. In contrast to the standard approach that compares the implications of full FD with that of centralization, we consider that the central government chooses the level of FD to maximize welfare in a heterogeneous country. Noncooperatively, local governments choose their tax collection effort to maximize local utility. We show that an increase in the tax rate leads optimal FD to increase so as to compensate for the welfare loss from decreasing optimal local tax effort. Hence, welfare and income distribution improve in FD at its intermediate, rather than extreme, levels. We coin this result as the decentralization-Laffer curve. As regional spillovers increase, FD is less desirable as it deteriorates welfare and income distribution. This finding provides a novel support for the decentralization theorem and contributes to the fiscal policy debate. © 2016 Elsevier Ltd
Open Access
Revenue decentralization and income distribution
(Elsevier BV, 2006) Neyapti, B.
Due to varying local revenue collection capacities and interest group activities, revenue decentralization (RD) may lead to increased inequality. This paper provides empirical evidence, however, that, if coupled with good governance, RD could improve income distribution. (c) 2006 Elsevier B.V. All rights reserved.
Open Access
Risk and career choice: evidence from Turkey
(Pergamon Press, 2010) Caner, A.; Okten, C.
In this paper, we examine the college major choice decision in a risk and return framework using university entrance exam data from Turkey. Specifically we focus on the choice between majors with low income risk such as education and health and others with riskier income streams. We use a unique dataset that allows us to control for the choice set of students and parental attitudes towards risk. Our results show that father's income, self-employment status and social security status are important factors influencing an individual in choosing a riskier career such as business over a less risky one such as education or health. © 2010 Elsevier Ltd.
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Schooling and income distribution
(1976) Marin, Alan
Open Access
Turkey: globalization, distribution and social policy, 1980–1998
(Oxford University Press, 2001) Boratav, K.; Yeldan, A. Erinç; Köse, A. H.; Taylor, L.
Turkey initiated its long process of integration with the world commodity and financial markets in 1980, and the successive stages of liberalization have been surveyed and are overviewed here. Since its early inception, the Turkish adjustment program was hailed as a model by the orthodox international community, and was supported by generous structural adjustment loans, debt relief, and technical aid; currently, the Turkish economy can be said to be operating under conditions of a truly open and liberalized economy, and in this setting, many of the instruments of macro and fiscal control have been transformed, and the constraints of macroequilibrium have undergone major structural change. The analytics of the two distinct phases of liberalization (1980–8 and 1989–98) is the theme of the first section of this chapter, where the modes of accumulation and surplus creation under both subperiods are addressed separately; the second section carries this analysis to microaspects of adjustment and reports on the evolving patterns of employment, labor productivity, and overall informalization of the labor force. Responses to pressures of international competitiveness and the emerging patterns of income distribution are studied in the third section, and in the fourth section, the preceding analysis is applied to size distribution of income and the incidence of postliberalization adjustments on poverty. The incidence of globalization on public sector accounts and the state's changing role in the provision of public goods are narrated in the fifth section, and the sixth concludes with an overview of the social policy implications of globalization.