Volume 12, Issue 43 (3-2021)                   jemr 2021, 12(43): 47-97 | Back to browse issues page

XML Persian Abstract Print

Download citation:
BibTeX | RIS | EndNote | Medlars | ProCite | Reference Manager | RefWorks
Send citation to:

Hanifi A, Khodadadkashi F, Mousavi Jahromi Y. The Measurement of the Multidimensional Inequality Index in Urban and rural Areas of Iran during the period 1984-2018. jemr 2021; 12 (43) :47-97
URL: http://jemr.khu.ac.ir/article-1-2141-en.html
1- Payame Noor University
2- Payame Noor University , khodadad@pnu.ac.ir
Abstract:   (1884 Views)
The main purpose of this paper is to measure the multidimensional inequality index. To achieve this goal and answer of what trend inequality has gone through during the study period, using the data of the household expenditure income plan of the statistical center of Iran and also using the Bourguignon index, inequality was measured in several dimensions for the period 1984-2018. In addition, it should be noted that in this study, household expenditures were initially adjusted based on age composition and number of household members by calculating the equivalence scale. This adjustment was made possible by estimating the share of expenditures of different commodity groups by considering its functional form in the the quadratic almost ideal demand system (QUAIDS). Then, using data mining techniques and Principal Component Analysis(PCA), the weight of the studied dimensions in the analysis (income, education and health) was calculated and when measuring inequality, the degree of social aversion of inequality was considered in the form of two scenarios, zero and one. the results of this study indicate that the magnitude of multidimensional inequality per zero value for both the degree of social aversion of inequality parameter and the degree of substitution parameter based on the Bourguignon, index is between 0.28 and 0.41 in urban areas and between 0.26 and 0.41 in rural areas. fluctuations in the Bourguignon index and the Gini index of income have not necessarily been similar. The findings of this study also showed that the size of multidimensional inequality in rural areas is lower than urban areas in most of the years studied. There is an approximate similarity between its trend in urban and rural areas. Inequality in the 1980s was higher than in other periods (despite higher oil revenues than in the previous and subsequent periods and more government shares transferred than in previous periods), in the early 1390s, declined, and then increased again. Finally, the research findings indicate the failure of the egalitarian goals of development programs and thus emphasize the need for a fundamental review of the forthcoming programs with more attention to distribution by the market institution rather than the government.
Full-Text [PDF 2294 kb]   (712 Downloads)    
Type of Study: Applicable | Subject: سایر
Received: 2020/09/25 | Accepted: 2021/02/17 | Published: 2021/09/12

1. Harati J, dehghani A, taghizadeh H, amin.i T.(2016) The Effects of Economic and Political Inequality on Quality of Environment in Selected Countries: GMM Panel Analysis Journal of Economic Modeling Research, 6 (23) ,197-232((in persian) [DOI:10.18869/acadpub.jemr.6.23.197]
2. Homaie Rad, E. (2013). Comparing the socioeconomic determinants of infant mortality rate in Iran and MENA countries. Journal of Economic Modeling Research, 3(12), 135-151. (in persian)
3. Karimi Moughari, Z., & Barati, J. (2017). Determining the Level of Regional Inequality in Provinces of Iran: Analysis of Multidimensional Composite Index. Quarterly Journal of Economic Growth and Development Research, 7(26), 49-70. (in persian)
4. Raghfar, H., Safarzadeh, E., & Aliakbari Salami, F. (2018). The Measurement of the Multidimensional Inequality Index in Urban Areas of Iran. The Economic Research, 18(1), 127-154. (in persian)
5. Salem, A. A., Abounoori, E., & Yarmohamadi, J. A. (2018). Multidimensional Approach to Measuring Poverty: Theoretical Concepts and Empirical Evidence from the Iranian Economy from 1370 to 1392 Persian Calendar. Social Welfare Quarterly, 18(68), 9-41. (in persian)
6. Alesina, A., & Perotti, R. (1996). Income distribution, political instability, and investment. European economic review, 40(6), 1203-1228. [DOI:10.1016/0014-2921(95)00030-5]
7. Alesina, A., & Rodrik, D. (1994). Distributive politics and economic growth. The quarterly journal of economics, 109(2), 465-490. [DOI:10.2307/2118470]
8. Aristei, D., & Bracalente, B. (2011). Measuring multidimensional inequality and well-being: methods and an empirical application to Italian. Statistica, 71(2), 239-266.
9. Atkinson, A. B. (1970). On the measurement of inequality. Journal of economic theory, 2(3), 244-263. [DOI:10.1016/0022-0531(70)90039-6]
10. Atkinson, A. B., & Bourguignon, F. (1982). The comparison of multi-dimensioned distributions of economic status. The Review of Economic Studies, 49(2), 183-201. [DOI:10.2307/2297269]
11. Banks, J., Marmot, M., Oldfield, Z., & Smith, J. P. (2007). Social And Economic Dimensions Of An Aging Population.
12. Banks, J., Blundell, R., & Lewbel, A. (1997). Quadratic Engel curves and consumer demand. Review of Economics and statistics, 79(4), 527-539. [DOI:10.1162/003465397557015]
13. Barro, R. J. (2000). Inequality and Growth in a Panel of Countries. Journal of economic growth, 5(1), 5-32. [DOI:10.1023/A:1009850119329]
14. Belle, D., & Doucet, J. (2003). Poverty, inequality, and discrimination as sources of depression among US women. Psychology of Women Quarterly, 27(2), 101-113. [DOI:10.1111/1471-6402.00090]
15. Benaabdelaali, W., Hanchane, S., & Kamal, A. (2012). Chapter 13 Educational Inequality in the World, 1950-2010: Estimates from a New Dataset. Inequality, Mobility and Segregation: Essays in Honor of Jacques Silber (Research on Economic Inequality, Volume 20. Emerald Group Publishing Limited. [DOI:10.1108/S1049-2585(2012)0000020016]
16. Blackorby, C., & Donaldson, D. (1991). Equivalence scales and the costs of children (No. 91a14). Universite Aix-Marseille III.
17. Bourguignon, F. (1999), "Comment to 'Multidimensioned Approaches to Welfare Analysis' by Maasoumi, E." in Handbook of income inequality measurement., ed. J.
18. Silber, Boston, Dordrecht and London: Kluwer Academic, pp. 477-484.
19. Brandolini, A. (2008). On applying synthetic indices of multidimensional well-being: Health and income inequalities in selected EU countries. Bank of Italy Temi di Discussione (Working Paper) No, 668. [DOI:10.2139/ssrn.1148725]
21. Caruso, R., & Schneider, F. (2011). The socio-economic determinants of terrorism and political violence in Western Europe (1994-2007). European Journal of Political Economy, 27, S37-S49. [DOI:10.1016/j.ejpoleco.2011.02.003]
23. Chakravarty, S. R. (2009). Inequality, polarization and poverty. Advances in distributional analysis. New York. [DOI:10.1007/978-0-387-79253-8]
25. Cheli, B., & Lemmi, A. (1995). A'totally'fuzzy and relative approach to the multidimensional analysis of poverty.
27. Chen, H. J., & Bai, J. F. (2013). Weight determination method based on principal component analysis coking. In Advanced Materials Research (Vol. 712, pp. 2469-2473). Trans Tech Publications Ltd. [DOI:10.4028/www.scientific.net/AMR.712-715.2469]
29. Cherchye, L., Moesen, W., Rogge, N., & Van Puyenbroeck, T. (2007). An introduction to 'benefit of the doubt'composite indicators. Social indicators research, 82(1), 111-145. [DOI:10.1007/s11205-006-9029-7]
31. Cowell, F. (2011). Measuring inequality. Oxford University Press. [DOI:10.1093/acprof:osobl/9780199594030.001.0001]
32. Decancq, K. (2017). Measuring multidimensional inequality in the OECD member countries with a distribution-sensitive Better Life Index. Social Indicators Research, 131(3), 1057-1086. [DOI:10.1007/s11205-016-1289-2]
33. Donaldson, D., & Pendakur, K. (2004). Equivalent-expenditure functions and expenditure-dependent equivalence scales. Journal of Public Economics, 88(1-2), 175-208. [DOI:10.1016/S0047-2727(02)00134-2]
34. Decancq, K., & Lugo, M. A. (2012). Inequality of wellbeing: A multidimensional approach. Economica, 79(316), 721-746. [DOI:10.1111/j.1468-0335.2012.00929.x]
35. Despotis, D. K. (2005a). Measuring human development via data envelopment analysis: the case of Asia and the Pacific. Omega, 33(5), 385-390. [DOI:10.1016/j.omega.2004.07.002]
36. Despotis, D. K. (2005b). A reassessment of the human development index via data envelopment analysis. Journal of the operational research society, 56(8), 969-980. [DOI:10.1057/palgrave.jors.2601927]
37. Desai, M., & Shah, A. (1988). An econometric approach to the measurement of poverty. Oxford Economic Papers, 40(3), 505-522. [DOI:10.1093/oxfordjournals.oep.a041868]
38. Fleurbaey, M. (2009). Beyond GDP: The quest for a measure of social welfare. Journal of Economic literature, 47(4), 1029-75. [DOI:10.1257/jel.47.4.1029]
39. Helliwell, J. F., & Putnam, R. D. (2004). The social context of well-being. Philosophical Transactions of the Royal Society of London. Series B: Biological Sciences, 359(1449), 1435-1446. [DOI:10.1098/rstb.2004.1522]
40. Hume, D. (1998). Selected essays. OUP Oxford.
41. Ibourk, A., & Amaghouss, J. (2012). Measuring Education Inequalities: Concentration and Dispersion-Based Approach. Lessons from Kuznets Curve in MENA Region. World Journal of Education, 2(6), 51-65. [DOI:10.5430/wje.v2n6p51]
42. John, R. (1971). A theory of justice.
43. Jung, H. S., Kim, S. W., & Ahn, S. H. (2014). Multidimensional inequality in South Korea: An empirical analysis. Asian Social Work and Policy Review, 8(2), 170-191. [DOI:10.1111/aswp.12034]
44. Krishnakumar, J., & Nagar, A. L. (2008). On exact statistical properties of multidimensional indices based on principal components, factor analysis, MIMIC and structural equation models. Social Indicators Research, 86(3), 481-496. [DOI:10.1007/s11205-007-9181-8]
45. Klasen, S. (2000). Measuring poverty and deprivation in South Africa. Review of income and wealth, 46(1), 33-58. [DOI:10.1111/j.1475-4991.2000.tb00390.x]
46. Lugo, M. A. (2007). Comparing multidimensional indices of inequality: Methods and application. Research on Economic Inequality, 14, 213-236. [DOI:10.1016/S1049-2585(06)14010-7]
47. Maasoumi, E. (1986). The measurement and decomposition of multi-dimensional inequality. Econometrica: Journal of the Econometric Society, 991-997. [DOI:10.2307/1912849]
48. Mahlberg, B., & Obersteiner, M. (2001). Remeasuring the HDI by data envelopement analysis. Available at SSRN 1999372. [DOI:10.2139/ssrn.1999372]
49. Mascherini, M., & Hoskins, B. (2008). Retrieving expert opinion on weights for the Active Citizenship Composite Indicator. European Commission-Institute for the protection and security of the citizen-EUR JRC46303 EN, 288.
50. Mayer, S. E., & Jencks, C. (1989). Poverty and the distribution of material hardship. Journal of Human resources, 88-114. [DOI:10.2307/145934]
51. Nardo, M., Saisana, M., Saltelli, A., & Tarantola, S. (2005). Tools for composite indicators building. European Comission, Ispra, 15(1), 19-20.
52. Noorbakhsh, F. (1998). The human development index: some technical issues and alternative indices. Journal of International Development: The Journal of the Development Studies Association, 10(5), 589-605. https://doi.org/10.1002/(SICI)1099-1328(199807/08)10:5<589::AID-JID484>3.0.CO;2-S [DOI:10.1002/(SICI)1099-1328(199807/08)10:53.0.CO;2-S]
53. Omotoso, K. O., Adesina, J., & Adewole, O. G. (2021). Profiling gendered multidimensional poverty and inequality in post-apartheid South Africa. African Journal of Science, Technology, Innovation and Development, 1-13.‌ [DOI:10.1080/20421338.2020.1867363]
54. Parente, F. (2019). A multidimensional analysis of the EU regional inequalities. Social Indicators Research, 143(3), 1017-1044. [DOI:10.1007/s11205-018-2000-6]
55. Pinar, M. (2019). Multidimensional Well-Being and Inequality Across the European Regions with Alternative Interactions Between the Well-Being Dimensions. Social Indicators Research, 144(1), 31-72. [DOI:10.1007/s11205-018-2047-4]
56. Popper, K. R., Kneale, W. C., & Ayer, A. J. (1948). Symposium: What Can Logic Do for Philosophy?. Proceedings of the Aristotelian Society, Supplementary Volumes, 22, 141-178. [DOI:10.1093/aristoteliansupp/22.1.141]
57. Rae, D. W., Rae, D. W. R., Yates, D., Hochschild, J., Morone, J., & Fessler, C. (1981). equalities. Harvard University Press.
58. Rohde, N., & Guest, R. (2018). Multidimensional Inequality Across Three Developed Countries. Review of Income and Wealth, 64(3), 576-591. [DOI:10.1111/roiw.12292]
59. Schokkaert, E. (2007). Capabilities and satisfaction with life. Journal of Human development, 8(3), 415-430. [DOI:10.1080/14649880701462239]
60. Srinivasan, T. N. (1994). Human development: a new paradigm or reinvention of the wheel?. The American Economic Review, 84(2), 238-243.
61. Stiglitz, J. E., Sen, A., & Fitoussi, J. P. (2010). Mismeasuring our lives: Why GDP doesn't add up. The New Press.
62. Shughart II, W. F., Tollison, R. D., & Yan, Z. (2003). Rent seeking into the income distribution. Kyklos, 56(4), 441-456. [DOI:10.1046/j.0023-5962.2003.00232.x]
63. Tsui, K. Y. (1999). Multidimensional inequality and multidimensional generalized entropy measures: An axiomatic derivation. Social Choice and Welfare, 16(1), 145-157. [DOI:10.1007/s003550050136]
64. Tsui, K. Y. (1995). Multidimensional generalizations of the relative and absolute inequality indices: the Atkinson-Kolm-Sen approach. Journal of Economic Theory, 67(1), 251-265. [DOI:10.1006/jeth.1995.1073]
65. Weymark, J. A. (2006). The normative approach to the measurement of multidimensional inequality. Inequality and economic integration, 303-328.
66. Westen, P. (1990). Speaking of Equality. An Analysis of the Rhetorical Force of" Equality. Moral and Legal Discourse, 270. [DOI:10.1515/9781400861484]
67. Wilkinson, R. G., Pickett, K. E., & De Vogli, R. (2010). Equality, sustainability, and quality of life. Bmj, 341. [DOI:10.1136/bmj.c5816]
68. B. Williams, Problems of the Self, Cambridge: Cambridge University Press, pp. 230-249, reprinted in L. Pojman & R. Westmoreland (eds.),
69. Young, I. M. (2011). Justice and the Politics of Difference. Princeton University Press.
70. Zagorski, K., Evans, M. D., Kelley, J., & Piotrowska, K. (2014). Does national income inequality affect individuals' quality of life in Europe? Inequality, happiness, finances, and health. Social Indicators Research, 117(3).1089-1110 [DOI:10.1007/s11205-013-0390-z]

Add your comments about this article : Your username or Email:

Send email to the article author

Rights and permissions
Creative Commons License This work is licensed under a Creative Commons Attribution-NonCommercial 4.0 International License.

© 2023 CC BY-NC 4.0 | Journal of Economic Modeling Research

Designed & Developed by : Yektaweb