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On the determinants of inequality in Bosnia and Herzegovina

Author

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  • Marcelo Bisogno
  • Alberto Chong

Abstract

We provide empirical evidence on the determinants of income inequality in Bosnia and Herzegovina after the civil war. To do this, we use a an ordered probit approach and take advantage of the first post‐war household survey for the country which sheds some light on the influence of regional differences as well as household characteristics on income quintile determination. With respect to the former, we find large income differences between the two entities in the country, the Federation and Republika Srpska. Such income differences are also noticeable inside entities. On the latter, there are some signs that education, experience, and employment, among others, may help reduce the probability of income decline. Our results are robust to changes of specification as shown by applying a formal sensitivity analysis. JEL classification: O15, O10, I30.

Suggested Citation

  • Marcelo Bisogno & Alberto Chong, 2002. "On the determinants of inequality in Bosnia and Herzegovina," The Economics of Transition, The European Bank for Reconstruction and Development, vol. 10(2), pages 311-337, July.
    • Handle: RePEc:bla:etrans:v:10:y:2002:i:2:p:311-337
    DOI: 10.1111/1468-0351.00113
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    Cited by:

    1. Olga Shemyakina & Anke Plagnol, 2013. "Subjective Well-Being and Armed Conflict: Evidence from Bosnia-Herzegovina," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 113(3), pages 1129-1152, September.

    More about this item

    JEL classification:

    • O15 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Economic Development: Human Resources; Human Development; Income Distribution; Migration
    • O10 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - General
    • I30 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty - - - General

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