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The Effect of Knowledge Economy Factors on Income Inequality in the Selected Islamic Countries

Author

Listed:
  • Abolfazl Shahabadi

    (Bu Ali Sian University)

  • Morteza Nemati

    (Bu Ali Sian University
    Ministry of Economic Affairs and Finance)

  • Seyed Ehsan Hosseinidoust

    (Bu Ali Sian University)

Abstract

The importance of knowledge in the economy is so notable that many economists consider its role even stronger than the traditional production factors such as labor forces and capital. Term of knowledge-based economic represents the significance of the mentioned issue. Hence, identification of the components of knowledge economy and its influence on macroeconomic variables can be a step forward to highlight its role in the economy.The present study investigates the effect of the components of the knowledge-based economy on income inequality during 1995–2012, in a selection of the Islamic countries. Therefore, using panel data model, the effect of variables such as education, innovation, information and communication technology (ICT), and institutional regimes of income inequality was studied. There was a significant and positive effect for the components of knowledge, index of institutional economic regimes; positive but insignificant effect for innovation and creativity index; negative and significant effect for the index of education; and negative and insignificant effect for ICT on income inequality in the selected Islamic countries.

Suggested Citation

  • Abolfazl Shahabadi & Morteza Nemati & Seyed Ehsan Hosseinidoust, 2017. "The Effect of Knowledge Economy Factors on Income Inequality in the Selected Islamic Countries," Journal of the Knowledge Economy, Springer;Portland International Center for Management of Engineering and Technology (PICMET), vol. 8(4), pages 1174-1188, December.
    • Handle: RePEc:spr:jknowl:v:8:y:2017:i:4:d:10.1007_s13132-016-0431-3
    DOI: 10.1007/s13132-016-0431-3
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    Cited by:

    1. Simplice A. Asongu & Nicholas M. Odhiambo, 2020. "Building Knowledge-Based Economies in Africa: A Systematic Review of Policies and Strategies," Journal of the Knowledge Economy, Springer;Portland International Center for Management of Engineering and Technology (PICMET), vol. 11(4), pages 1538-1555, December.
    2. Thanos Fragkandreas, 2022. "Three Decades of Research on Innovation and Inequality: Causal Scenarios, Explanatory Factors, and Suggestions," Working Papers 60, Birkbeck Centre for Innovation Management Research, revised Feb 2022.
    3. Henri Njangang & Alim Beleck & Sosson Tadadjeu & Brice Kamguia, 2021. "Do ICTs drive wealth inequality? Evidence from a dynamic panel analysis," Working Papers 21/057, European Xtramile Centre of African Studies (EXCAS).
    4. Njangang, Henri & Beleck, Alim & Tadadjeu, Sosson & Kamguia, Brice, 2022. "Do ICTs drive wealth inequality? Evidence from a dynamic panel analysis," Telecommunications Policy, Elsevier, vol. 46(2).
    5. Henri Njangang & Alim Beleck & Sosson Tadadjeu & Brice Kamguia, 2021. "Do ICTs drive wealth inequality? Evidence from a dynamic panel analysis," Working Papers of the African Governance and Development Institute. 21/057, African Governance and Development Institute..
    6. Amina Amirat & Makram Zaidi, 2020. "Estimating GDP Growth in Saudi Arabia Under the Government’s Vision 2030: a Knowledge-based Economy Approach," Journal of the Knowledge Economy, Springer;Portland International Center for Management of Engineering and Technology (PICMET), vol. 11(3), pages 1145-1170, September.
    7. Amalia, Nadira & Moeis, Jossy P. & Arundina, Tika & Pertiwi, Ristiyanti Hayu & Mardhatillah, Amy, 2021. "Impact analysis of religiosity and altruism on multidimensional inequality;," International Review of Economics & Finance, Elsevier, vol. 71(C), pages 517-525.
    8. Joseph Pasky Ngameni & Ludovic Feulefack Kemmanang & Sylvain Bertelet Ngassam, 2022. "Growth Gap between China and Africa: Do Digital Technologies Matter?," Journal of the Knowledge Economy, Springer;Portland International Center for Management of Engineering and Technology (PICMET), vol. 13(1), pages 24-43, March.

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    More about this item

    Keywords

    Knowledge economy; Education; Innovation; ICT; Institutional regimes; The Islamic countries;
    All these keywords.

    JEL classification:

    • O15 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Economic Development: Human Resources; Human Development; Income Distribution; Migration
    • O31 - Economic Development, Innovation, Technological Change, and Growth - - Innovation; Research and Development; Technological Change; Intellectual Property Rights - - - Innovation and Invention: Processes and Incentives
    • O53 - Economic Development, Innovation, Technological Change, and Growth - - Economywide Country Studies - - - Asia including Middle East
    • I20 - Health, Education, and Welfare - - Education - - - General
    • E25 - Macroeconomics and Monetary Economics - - Consumption, Saving, Production, Employment, and Investment - - - Aggregate Factor Income Distribution

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