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Growth of regional economy and income inequality: county-level evidence from Florida, USA

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  • Jongsup Kim

Abstract

The purpose of this paper is to find the homogeneous groups and growth factors of Florida's counties through factor analysis and cluster analysis from data sets from 1979 and 2000 and to grasp the relationship between income inequality and growth by cluster using the derived growth factors. The numbers of factors divided through factor analysis were three, and six groups were obtained from cluster analysis. County-level evidence of this paper indicates that GI_DI and SIN have a strong effect and are statistically significant to the growth rate. Results for income inequality by county and region indicate significant differences between counties, including counties where agriculture accomplishes the primary main function. Therefore, government should adopt the following policies: minimum wage, unemployment insurance, local or state tax policies, income support programmes, and tax reform.

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  • Jongsup Kim, 2004. "Growth of regional economy and income inequality: county-level evidence from Florida, USA," Applied Economics, Taylor & Francis Journals, vol. 36(2), pages 173-183.
    • Handle: RePEc:taf:applec:v:36:y:2004:i:2:p:173-183
    DOI: 10.1080/0003684042000174065
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    Cited by:

    1. Brian C. Briggeman & Allan W. Gray & Mitchell J. Morehart & Timothy G. Baker & Christine A. Wilson, 2007. "A New U.S. Farm Household Typology: Implications for Agricultural Policy," Review of Agricultural Economics, Agricultural and Applied Economics Association, vol. 29(4), pages 765-782.
    2. Massimiliano Mazzanti & Antonio Musolesi, 2009. "Carbon Kuznets Curves: Long-run Structural Dynamics and Policy Events," Working Papers 2009.87, Fondazione Eni Enrico Mattei.
    3. , Le Thanh Tung, 2022. "The relationship between income growth and inequality: Evidence from an Asian emerging economy," OSF Preprints hq98y, Center for Open Science.
    4. Massimiliano Mazzanti & Antonio Musolesi, 2011. "Income and time related effects in EKC," Working Papers 201105, University of Ferrara, Department of Economics.
    5. Dipanwita Sarkar, 2007. "The role of human capital in economic growth revisited," Applied Economics Letters, Taylor & Francis Journals, vol. 14(6), pages 419-423.
    6. Massimiliano Mazzanti & Antonio Musolesi, 2010. "Carbon Abatement Leaders and Laggards Non Parametric Analyses of Policy Oriented Kuznets Curves," Working Papers 2010.149, Fondazione Eni Enrico Mattei.

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