Agriculture and Non-Agriculture Growth, Inflation and Income Inequality in Developed and Developing Countries

Siami‐Namini, Sima

doi:10.5539/ijef.v11n11p43

Cited by 5 publications

(4 citation statements)

References 15 publications

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“…In all models, the coefficients of the CPI inflation are positively significant. It means that a rise in the CPI inflation, as an indirect effect of monetary policy shocks, can increase income inequality, which is consistent with the results of previous studies (Shiller, 1996; Easterly & Fischer, 2001; Amornthum, 2004; Siami‐Namini, 2019; Siami‐Namini & Hudson, 2019a,b). No matter what measures are used as an income inequality indicator in the estimated models, the effects of CPI inflation on income inequality are similar for all individual measures.…”

Section: Resultssupporting

confidence: 91%

“…Furthermore, sectors’ growth and inflation affect income inequality in the long run. By using panel time series analysis, Siami‐Namini (2019) analysed the existence of Kuznets hypothesis between agriculture and non‐agriculture growth and income inequality and examined the existence of the non‐linear relationship between inflation and income inequality in both developed and developing countries. The results confirmed the existence of a “U‐shaped” of Kuznets curve between agriculture growth and income inequality on one hand and between non‐agriculture growth and income inequality on the other hand in developed countries.…”

Section: Literature Reviewmentioning

confidence: 99%

“…The time series of income inequality measures are available only on an annual‐based frequency, and therefore, the series of the other variables are considered on the yearly basis. The control variables for the cross‐states panel regressions are determined based on the theory and the previous empirical work on income inequality (Roine et al , 2009; Coibion et al , 2012; Neal, 2013; Villarreal, 2014; Siami‐Namini & Hudson, 2016; Siami‐Namini, 2019; Siami‐Namini & Hudson, 2019a,b). The annual data collected from the Federal Reserve Economic Data (FRED) website and the Bureau of Economic Analysis (BEA) website, which include consumer price index (CPI) inflation for all urban consumers, real gross domestic product (GDP), unemployment rate (UN), S&P 500 stock returns (SP), population as a demographic variable (POP), federal funds rate or interest rate as an indicator for monetary policy (I), and money stock (MS).…”

Section: Datamentioning

confidence: 99%

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The Effects of Monetary Policy Shocks on Income Inequality Across U.S. States

Siami‐Namini

Lyford

Trindade

2020

J of App Econs and Policy

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Using a time series cross‐state panel data of 50 U.S. states and the District of Columbia (DC) over the period of 1959 through 2015, this article intends to assess the direct and indirect effects of contractionary monetary policy shocks on income inequality through interest rate and consumer price index (CPI) inflation channels. To address this, the authors examine two possible linear and non‐linear relationships between inflation and income inequality and between gross domestic product (GDP) and income inequality. Using various measures of income inequality, the results of the pooled model and the individual fixed effect model show that CPI inflation positively and interest rate negatively affect all measures of income inequality in linear regression. The results confirm the existence of the non‐linearity relationship between inflation and income inequality as well as the Kuznets inverted “U‐shaped” hypothesis between GDP and income inequality. The results of linear and non‐linear regressions show that the DC and the state of Ohio are better off and worse off than the state of Alabama as baseline of models, respectively. The impulse response functions (IRFs) for the individual panel vector autoregressive (PVAR) models show that income inequality could be reduced by implementing contractionary monetary policy through interest rate channel in the short run and increased persistently pursuing contractionary monetary policies via inflation channel in the long run.

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Section: Resultssupporting

confidence: 91%

Section: Literature Reviewmentioning

confidence: 99%

Section: Datamentioning

confidence: 99%

See 1 more Smart Citation

The Effects of Monetary Policy Shocks on Income Inequality Across U.S. States

Siami‐Namini

Lyford

Trindade

2020

J of App Econs and Policy

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“…Dinçer and Yuksel (2019) in a study on E7 countries revealed a long-run relationship between total expenditure and public health expenditure and no causal relationship. Siami-Namini (2018) also made a related study for a period from 1995 to 2013 in G7 countries. The findings showed existence of short-run unidirectional linkages from per capita GDP to per capita health expenditure.…”

Section: Literature Reviewmentioning

confidence: 99%

Relation Between Per Capita Public Expenditure on Health and Income in India at Sub-National Level

Taylor

Dessai

2023

Indian Journal of Public Administration

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Health is considered as both a source of human welfare and a detriment to overall economic growth. The relationship between public health expenditure and economic growth is an important subject of analysis that has been in debate for years. The major concern is whether income of a nation plays a significant role in the changes happening in government health spending. In order to answer this particular question, the present study investigates the relationships between public health expenditure and income in selected 23 Indian states based on the availability of data. Variables used for the study were per capita public health expenditure, per capita state gross domestic product, per capita state’s own revenue and infant mortality rate for a period of 30 years from 1990 to 2020. For the purpose of analysis, the states were divided into economically less developed and economically developed based on the revenue earned by the selected Indian states. The analysis begins with summary statistics and pair-wise correlation followed by ordinary least squares regression. The findings of the study suggest that there was a significant positive impact of per capita gross state domestic product, fiscal capacity on per capita public health expenditure, and a negative impact of infant mortality rate on per capita public health expenditure in all the 23 Indian states. And the impact of per capita state gross domestic product on per capita public health expenditure is higher in richer Indian states than poorer Indian states.

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