Theoretical and Applied Economics
No. 3 / 2020 (624), Autumn
Financial development and income inequality: An empirical analysis on the emerging market economies
Necmettin Erbakan University, Turkey
Abstract. In developing countries, achieving high economic growth rates with fair income distribution is one of the economic targets in these countries. The effect of financial development on income inequality is examined and discussed in the literature with many empirical practices in line with these objectives.
The purpose of the study is to test the relationship between income inequality and financial development. Cross-sectional dependence, homogeneity, panel co-integration and panel cointegration estimators were used in the study. The findings of the study confirm that financial development has no significant effect on income inequality for the panel group. However, Brazil, Russia, Greece and Turkey to the conclusion that financial development reduces income inequality has been reached. It is concluded that financial development increases income inequality in Bulgaria, Colombia, Croatia, Hungary, Malaysia, Poland and Romania.
Considering the role of financial development in terms of national economies, improving income distribution will make financial development more significantly as a driving force of economic growth.
Contents
Social protection systems and economic growth
Analysis of the impact generated by COVID-19 in banking institutions and possible economic effects
Covid crisis: Fiscal, monetary and macro-financial policy responses
Simulation of financial contagion effect using the NetLogo software at the level of the banking network
Impact of education and government effectiveness on the shadow economy
Financial development and income inequality: An empirical analysis on the emerging market economies
Aspects and evolutions specific to monetary policy in Romania. A complex topical analysis
Foreign trade policy and economic growth: Indian evidence
The effect of external debt on long run economic growth in developing economies: Evidence from heterogeneous panel data models with cross sectional dependency
Structural modeling of fiscal structure for policy analysis: A case study of India
Macroeconomic variables and market expectations: Indian Stock Market
Relationship analysis of stocks prices and exchange rates of three leading Asian economies
Bitcoins as a determinant of stock market movements: A comparison of Indian and Chinese Stock Markets
The causal relationship between Indian energy consumption and the GDP: A shift from conservation to feedback hypothesis post economic liberalisation
The dependence and dynamic correlation between Islamic and conventional insurances and stock market: A multivariate short memory approach
Does exchange rate has any impact on economic growth in India? An empirical analysis
Corruption, technological innovation and environmental quality in South Asian countries: An empirical insight
Analysis of the quarterly evolution of the Gross Domestic Product
The main theoretical aspects regarding the capital adequacy models
Considerations regarding the effects of COVID-19 on the tourism market