Research Article

Impact of Trade Flows on Income Distribution in Angola

Volume: 2 Number: 1 April 6, 2021
TR EN

Impact of Trade Flows on Income Distribution in Angola

Abstract

Opening to international trade has been a crucial factor in the development and growth of economies for the last decades. On the other hand, it is known that opening brings advantages and disadvantages for economies. Income inequality can thus be related to these disadvantages which have been increasing in certain countries. The aim of this study is to find out whether trade flows have an impact on income inequality related to trade opening in Angola. Ordinary Least Squares method is used to analyze the relationship between variables over the period 2000-2017. In order to define the effect of international trade on the income inequality Gini coefficient is analyzed along with export and import values of Angola. Gini values are gathered from World Inequality Database with 0 representing perfect equality and 1 meaning perfect inequality. Other macroeconomic variables are used such as unemployment and short term debt stock along with export and import to assure the relationship between Gini and foreign trade variables. According to the model results, exportation has a negative effect on Gini coefficient, while importation, unemployment and debt have a positive impact on Gini.

Keywords

References

  1. Africa Development Bank (2021). Retrieved from https://www.afdb.org/en (Access Date: 03/01/2021).
  2. Alvaredo, F., Chancel, L., Piketty, T., Saez, E. and Zucman, G. (2018). World Inequality Report 2018.
  3. Arslan, F. P. (2019). Public debt and income inequality in Turkey. Journal of Research in Economics, 91-109.
  4. Banco Nacional de Angola (2021). Retrieved from https://www.bna.ao (Access Date: 07/01/2021).
  5. Bohoslavsky, J. P. (2016). Economic Inequality, Debt Crises and Human Rights. Yale Journal of International Law, 177-200.
  6. Carvalho, A. (2017). The World Finance: The Voice of the Market: Retrieved from https://www.worldfinance.com/banking/reforming-angolas-financial-sector (Access Date: 17/01/2021).
  7. Cassete, F. (2012). Income inequalities and international trade in goods and services: Short- and long-run evidence. International Trade Journal, 223-254.
  8. Cerdeiro, D. A. and Komaromi, A. (2017). Trade and Income in the Long Run: Are There Really Gains, and Are They Widely Shared?, IMF Working Papers, WP/17/231.

Details

Primary Language

English

Subjects

Business Administration

Journal Section

Research Article

Publication Date

April 6, 2021

Submission Date

March 1, 2021

Acceptance Date

March 30, 2021

Published in Issue

Year 2021 Volume: 2 Number: 1

APA
Özcan, Y., & Da Costa Cazeiro, A. S. R. (2021). Impact of Trade Flows on Income Distribution in Angola. İşletme, 2(1), 39-58. https://izlik.org/JA57YY62DB
AMA
1.Özcan Y, Da Costa Cazeiro ASR. Impact of Trade Flows on Income Distribution in Angola. İşletme. 2021;2(1):39-58. https://izlik.org/JA57YY62DB
Chicago
Özcan, Yunus, and Alberto Schneider Rodriguez Da Costa Cazeiro. 2021. “Impact of Trade Flows on Income Distribution in Angola”. İşletme 2 (1): 39-58. https://izlik.org/JA57YY62DB.
EndNote
Özcan Y, Da Costa Cazeiro ASR (April 1, 2021) Impact of Trade Flows on Income Distribution in Angola. İşletme 2 1 39–58.
IEEE
[1]Y. Özcan and A. S. R. Da Costa Cazeiro, “Impact of Trade Flows on Income Distribution in Angola”, İşletme, vol. 2, no. 1, pp. 39–58, Apr. 2021, [Online]. Available: https://izlik.org/JA57YY62DB
ISNAD
Özcan, Yunus - Da Costa Cazeiro, Alberto Schneider Rodriguez. “Impact of Trade Flows on Income Distribution in Angola”. İşletme 2/1 (April 1, 2021): 39-58. https://izlik.org/JA57YY62DB.
JAMA
1.Özcan Y, Da Costa Cazeiro ASR. Impact of Trade Flows on Income Distribution in Angola. İşletme. 2021;2:39–58.
MLA
Özcan, Yunus, and Alberto Schneider Rodriguez Da Costa Cazeiro. “Impact of Trade Flows on Income Distribution in Angola”. İşletme, vol. 2, no. 1, Apr. 2021, pp. 39-58, https://izlik.org/JA57YY62DB.
Vancouver
1.Yunus Özcan, Alberto Schneider Rodriguez Da Costa Cazeiro. Impact of Trade Flows on Income Distribution in Angola. İşletme [Internet]. 2021 Apr. 1;2(1):39-58. Available from: https://izlik.org/JA57YY62DB