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Investigating the Effects of Different Kinds of Infrastructures on Income Distributions of Provinces in Iran: A Generalized Method of Moment Approach

Author

Listed:
  • Khalili Araghi , Mansour

    (Professor of Economics, University of Tehran)

  • Kabiri Renani , Mahboobeh

    (Ph.D. in Economics, University of Tehran)

  • Nobahar , Elham

    (Assistant Professor of Economics, University of Tabriz)

Abstract

One of the main subjects, all governments are facing is the just distribution of income, and trying to improve it; because of the consequence of unjust distribution of income studying different aspect of it is very important. In this regard, we have studied the effects of different kinds of infrastructure; economic (energy, water, ICT), social (health, education), on the inequality of the Iranian provinces for the period of 2006-2016. We have used the Dynamic Panel Data and GMM models. The results show that enhancement of social and economic infrastructures will reduce the inequalities. According to research findings, the increase in social and economic infrastructures has reduced the income inequality in society. As infrastructure of healthcare, information and communication technology, energy and water have the most impact on income inequality, respectively. Therefore, in order to reduce inequality in deprived areas, the combination and optimal allocation of economic and social infrastructures should be considered.

Suggested Citation

  • Khalili Araghi , Mansour & Kabiri Renani , Mahboobeh & Nobahar , Elham, 2018. "Investigating the Effects of Different Kinds of Infrastructures on Income Distributions of Provinces in Iran: A Generalized Method of Moment Approach," Quarterly Journal of Applied Theories of Economics, Faculty of Economics, Management and Business, University of Tabriz, vol. 4(4), pages 119-142, March.
    • Handle: RePEc:ris:qjatoe:0092
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    More about this item

    Keywords

    Economic and social infrastructures; Inequalities; Dynamic Panel; GMM.;
    All these keywords.

    JEL classification:

    • C23 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Models with Panel Data; Spatio-temporal Models
    • H54 - Public Economics - - National Government Expenditures and Related Policies - - - Infrastructures
    • O15 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Economic Development: Human Resources; Human Development; Income Distribution; Migration
    • R58 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - Regional Government Analysis - - - Regional Development Planning and Policy

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