INCOME INEQUALITY IN IRAN: 1984-2006

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RAGHFAR H.; EBRAHIMI AZADEH

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Journal: Social Welfare Year:2008 | Volume:7 | Issue:28 Page(s): 9-34

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Title

INCOME INEQUALITY IN IRAN: 1984-2006

Author(s)

RAGHFAR H. | EBRAHIMI AZADEH | Issue Writer Certificate

Keywords

CULTURAL CAPITALQ3

CULTURAL TOURISMQ2

FOLKLOREQ3

INCOME MULTIPLIERQ3

TOURISM INDUSTRYQ2

Abstract

Objectives: This article focuses on income distribution and inequality changes in Iran from 1984 till 2006. To this end it calculates five inequality indices across rural and urban areas within the period of the study.Method: Using Household Expenditure Survey conducted by Statistical Center of Iran, income distribution and inequality changes for urban and rural areas in Iran within time span 1984 to 2006 are calculated. To this end, Gini Coefficient, Relative Mean Deviation, Coefficient of Variation, Theil's Index and Atkinson's Measure are calculated and the results of the inequality indices are compared. In this study household expenditure is used as a close proxy of household's income and well-being.Findings: In spite of the fluctuations of the inequality measures in the period of the study, the general trend of inequality has been declining. Nevertheless, in the first two years of the fourth social and economic planning, i.e., 2005 and 2006, inequality has been increasing. Comparing inequality figures calculated by the five different measures show that there is a general consistency among the measures while the figures calculated by the Coefficient of Variation show less consistency with the other indices. Atkinson's measure has been calculated with different values of the inequality aversion parameter. The results show that while the parameter assumes values between 0.25 and 0.5, Atkinson's measure is more consistent with other inequality measures.It seems that Gini coefficient, Theil's index and Atkinson's measure show strong consistency and policy makers can use either of them for economy and simplicity. Nevertheless, Gini coefficient is easier to understand and more popular. Gini coefficient has been declined from 0.411 in 1984 to 0.401 in 2006 for urban areas and increased from 0.397 in 1984 to 0.4 in 2006. Theil's index indicates a sharp decline from 0.392 in 1991 to 0.261 in 1992 in urban areas and relatively strong decline from 0.37 in 1991 to 0.248 in 2003 for rural areas. Once Quarterlyundertaking. Thus, third it may be regarded as a component of sustainable development.

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References

INCOME INEQUALITY MEASUREMENT IN IRAN

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APA: Copy

RAGHFAR, H., & EBRAHIMI, AZADEH. (2008). INCOME INEQUALITY IN IRAN: 1984-2006. SOCIAL WELFARE, 7(28), 9-34. SID. https://sid.ir/paper/56474/en

Vancouver: Copy

RAGHFAR H., EBRAHIMI AZADEH. INCOME INEQUALITY IN IRAN: 1984-2006. SOCIAL WELFARE[Internet]. 2008;7(28):9-34. Available from: https://sid.ir/paper/56474/en

IEEE: Copy

H. RAGHFAR, and AZADEH EBRAHIMI, “INCOME INEQUALITY IN IRAN: 1984-2006,” SOCIAL WELFARE, vol. 7, no. 28, pp. 9–34, 2008, [Online]. Available: https://sid.ir/paper/56474/en

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