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Are public policies effective in alleviating family income inequality in Iran?

Author

Listed:
  • Nasser Khiabani

    (Institute of Management and Planning Studies)

  • Ali Mazyaki

    (Graduate School of Economics, Finance and Management (GSEFM))

Abstract

Redistributing incomes has always been one of the main goals of Iranian policy makers, although political regimes have changed frequently between 1991 and 2004. We have applied a microsimulation using the Oaxaca-Blinder decomposition and a Heckman correction for sample selection bias to compare simulation results for a hypothetical unchanged situation with the actual policy shift observed. While we are able to identify the years in which policy shifts occurred, our results suggest that the intended redistribution goals were at most partially achieved, affecting only some occupations and being offset by changes to the level of family incomes.

Suggested Citation

  • Nasser Khiabani & Ali Mazyaki, 2009. "Are public policies effective in alleviating family income inequality in Iran?," Journal of Income Distribution, Ad libros publications inc., vol. 18(3-4), pages 268-282, September.
    • Handle: RePEc:jid:journl:y:2009:v:18:i:3-4:p:268-282
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    References listed on IDEAS

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    More about this item

    Keywords

    income distribution; policy evaluation; Oaxaca-Blinder; Heckit;
    All these keywords.

    JEL classification:

    • C31 - Mathematical and Quantitative Methods - - Multiple or Simultaneous Equation Models; Multiple Variables - - - Cross-Sectional Models; Spatial Models; Treatment Effect Models; Quantile Regressions; Social Interaction Models
    • D3 - Microeconomics - - Distribution
    • O53 - Economic Development, Innovation, Technological Change, and Growth - - Economywide Country Studies - - - Asia including Middle East

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