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Regional Income Inequality in Turkey

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Author(s): Alpay FİLİZTEKİN | Murat Alp ÇELİK

Journal: Megaron
ISSN 1309-6915

Volume: 5;
Issue: 3;
Start page: 116;
Date: 2010;

Keywords: Income inequality | regional perspective.

ABSTRACT
This paper investigates income inequality in Turkey from a regional perspective using the Turkish Institute of Statistics’ Household Expenditure and Income Surveys conducted in 1994 and 2003. The average, median and standard deviation of income along Gini coefficients are calculated at the regional level after controlling for purchasing power, regional inflation rates and equivalence scales. The distribution of population based on income groups over regions is analyzed. Differentiating six different major income types, the analysis attempts to understand the relationship between income generating activities and income inequality in specific years and discusses how changing economic conditions are related to the evolution of each income type at regional level. Furthermore, the study investigates within and between income inequality using variance decomposition and Pyatt income inequality decomposition techniques.
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