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Regional Income Distribution in Portugal

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  • Gertrudes Saúde Guerreiro

    () (Universidade de Évora, Departamento de Economia and CEFAGE-UE)

Abstract

Concerns about inequality in income distribution have gained importance, encouraging the various studies that address specially inequality among individuals [see the studies of Rodrigues (1994, 1999 and 2008)]. Our research aims to address the problem of inequality in income distribution from a different perspective and we want to answer questions like if geography influences the pattern of inequality, or if the Portuguese’s standard of living depends on the place of residence, and finally, if the spatial units that make up the Portuguese territory have been converging in terms of income in the process of growth. The aim of this paper is to study the regional income differences among the regions and municipalities of Portugal. Our individuals are the territorial units. We intend to evaluate convergence or divergence in income growth using a static analysis, with conventional measures and other indicators, being aware the regional differences in economic performance. We find a growing inequality between regional incomes over the period 1990-2006. In our view, the distribution of earnings reflects only the actual distribution of economic activity in Portugal, particularly concentrated in the coastal and metropolitan areas of Lisboa and Porto. The economic specialization and level of education among the population of each territorial unit are also, of course, crucial for this asymmetry on earnings.

Suggested Citation

  • Gertrudes Saúde Guerreiro, 2012. "Regional Income Distribution in Portugal," CEFAGE-UE Working Papers 2012_06, University of Evora, CEFAGE-UE (Portugal).
  • Handle: RePEc:cfe:wpcefa:2012_06
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    File URL: http://www.cefage.uevora.pt/en/content/download/3108/41379/version/1/file/2012_06.pdf
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    References listed on IDEAS

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    1. António Caleiro & Gertrudes Guerreiro, 2005. "Understanding the election results in Portugal," Portuguese Economic Journal, Springer;Instituto Superior de Economia e Gestao, vol. 4(3), pages 207-228, December.
    2. Joachim Frick & Jan Goebel, 2008. "Regional Income Stratification in Unified Germany Using a Gini Decomposition Approach," Regional Studies, Taylor & Francis Journals, vol. 42(4), pages 555-577.
    3. Ivan Kitov, 2005. "Evolution of the personal income distribution in the USA: High incomes," Economics Bulletin, AccessEcon, vol. 28(12), pages 1.
    4. Michael C. Lovell, 1999. "Inequality Within and Among Nations," Journal of Income Distribution, Ad libros publications inc., vol. 8(1), pages 1-1, June.
    5. Heikki Loikkanen & Marja Riihelä & Risto Sullström, 2003. "Regional income convergence and inequality in boom and bust. Results from micro data in Finland 1971-2000, and especially during the 1990s," ERSA conference papers ersa03p514, European Regional Science Association.
    6. Elias Soukiazis & Micaela Antunes, 2006. "Two Speed Regional Convergence In Portugal And the Importance of Structural Funds on Growth," Ekonomia, Cyprus Economic Society and University of Cyprus, vol. 9(2), pages 222-241, Winter.
    7. Sullström, Risto & Loikkanen, Heikki A. & Rantala, Anssi, 1998. "Regional Income Differences in Finland, 1966-96," Discussion Papers 181, VATT Institute for Economic Research.
    8. Gertrudes Guerreiro & Conceição Rego, 2005. "Regional Delimitation in Continental Portugal: what does cluster analysis tell us?," Economics Working Papers 14_2005, University of Évora, Department of Economics (Portugal).
    9. Elias Soukiazis & Micaela Antunes, 2004. "The evolution of real disparities in Portugal among the NUTS III regions. An empirical analysis based on the convergence approach," ERSA conference papers ersa04p54, European Regional Science Association.
    10. Boris A. Portnov & Daniel Felsenstein, 2005. "Measuring Regional Disparities in Small Countries," ERSA conference papers ersa05p136, European Regional Science Association.
    11. Goerlich, Francisco J & Mas, Matilde, 2001. "Inequality in Spain 1973-91: Contribution to a Regional Database," Review of Income and Wealth, International Association for Research in Income and Wealth, vol. 47(3), pages 361-378, September.
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    Cited by:

    1. Maciej Turala & Lasse Oulasvirta & Yannis Psycharis & Gertrudes Guereiro & Gabor Peteri & Pontus Talberg, 2014. "Equalisation of territorial units' incomes - case study of Nordic, Central European and Southern countries," ERSA conference papers ersa14p401, European Regional Science Association.

    More about this item

    Keywords

    Income Distribution; Regional Inequality; Regional Convergence; Municipalities; Regional Data.;

    JEL classification:

    • D30 - Microeconomics - - Distribution - - - General
    • R10 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - General

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