INCOME INEQUALITY AND INNOVATIVENESS: AN APPLICATION FOR EUROPEAN COUNTRIES

Year 2016, Volume: 66 Issue: 1, 67 - 82, 01.06.2016

Halil Tunalı , Fatih Şahan

https://doi.org/10.26560/iuifm.331698

Cited By: 2

Abstract

The major aim of this paper is to elaborate the relationship between tech-
nological change and income distribution for 18 developed EU countries.
A panel data model is estimated for the data covering the period between
1999-2014. The results suggest that, technological progress occurred in EU
countries works to the detriment of people who hold the top income shares.
Moreover, the institutional variable is found to increase income inequality.
The results underline some important lessons for developing countries. 

Keywords

Technological Change, Income Distribution, Panel Data Model

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