Research Article

Income Convergence Among Turkish Provinces: An Income Inequality Approach

Volume: 7 Number: 2 June 30, 2022
TR EN

Income Convergence Among Turkish Provinces: An Income Inequality Approach

Abstract

This study examines the income convergence among the 81 provinces of Turkey from the perspective of the income distribution. Unit root tests with a structural break, OLS time-series regression, variance, and coefficient of variation analysis are employed to investigate the beta and sigma income convergences over the 1992-2019 period. The empirical results indicate strong convergence to the average for the relatively high-income provinces and strong divergence from the average for the relatively low-income provinces. In addition, a closing income gap among provinces is observed in the economic slowdown periods 1993-1994, 2001-2002, 2008-2009 while the income distribution gets worse in the high-growth periods. In the Turkish economy, income differences between provinces have been decreasing in parallel with the slowing economic growth since 2013. This study differs from other studies in the literature on three points. First, the combined use of beta and sigma income convergence approaches has created an alternative tool to analyze the income inequality concept. Secondly, approximately doubling the number of observations in the newly used data set contributed positively to the accuracy of the results of the empirical study. Third, the inclusion of events that may cause structural breaks in the economy over the period 1992-2019, increased the reliability of the outputs of the study.

Keywords

References

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Details

Primary Language

English

Subjects

Economics

Journal Section

Research Article

Publication Date

June 30, 2022

Submission Date

January 24, 2022

Acceptance Date

June 30, 2022

Published in Issue

Year 2022 Volume: 7 Number: 2

APA
Akkay, R. C. (2022). Income Convergence Among Turkish Provinces: An Income Inequality Approach. Ekonomi Politika Ve Finans Araştırmaları Dergisi, 7(2), 274-300. https://doi.org/10.30784/epfad.1062258
AMA
1.Akkay RC. Income Convergence Among Turkish Provinces: An Income Inequality Approach. EPF Journal. 2022;7(2):274-300. doi:10.30784/epfad.1062258
Chicago
Akkay, Reşat Can. 2022. “Income Convergence Among Turkish Provinces: An Income Inequality Approach”. Ekonomi Politika Ve Finans Araştırmaları Dergisi 7 (2): 274-300. https://doi.org/10.30784/epfad.1062258.
EndNote
Akkay RC (June 1, 2022) Income Convergence Among Turkish Provinces: An Income Inequality Approach. Ekonomi Politika ve Finans Araştırmaları Dergisi 7 2 274–300.
IEEE
[1]R. C. Akkay, “Income Convergence Among Turkish Provinces: An Income Inequality Approach”, EPF Journal, vol. 7, no. 2, pp. 274–300, June 2022, doi: 10.30784/epfad.1062258.
ISNAD
Akkay, Reşat Can. “Income Convergence Among Turkish Provinces: An Income Inequality Approach”. Ekonomi Politika ve Finans Araştırmaları Dergisi 7/2 (June 1, 2022): 274-300. https://doi.org/10.30784/epfad.1062258.
JAMA
1.Akkay RC. Income Convergence Among Turkish Provinces: An Income Inequality Approach. EPF Journal. 2022;7:274–300.
MLA
Akkay, Reşat Can. “Income Convergence Among Turkish Provinces: An Income Inequality Approach”. Ekonomi Politika Ve Finans Araştırmaları Dergisi, vol. 7, no. 2, June 2022, pp. 274-00, doi:10.30784/epfad.1062258.
Vancouver
1.Reşat Can Akkay. Income Convergence Among Turkish Provinces: An Income Inequality Approach. EPF Journal. 2022 Jun. 1;7(2):274-300. doi:10.30784/epfad.1062258