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INEQUALITY IN TURKEY BY INCOME CATEGORIES

Yıl 2016, , 101 - 116, 31.10.2016
https://doi.org/10.15637/jlecon.154

Öz

Income inequality has been observed across both advanced and emerging market economies
for the last thirty years. The neoliberal policies has resulted in a significant change in the distribution
of income and wealth around the world in favour of the top income receivers.
Uneven distribution of income has recently been one of the main issues for researchers and
policy makers. The reason why income inequality has been so high on the agenda is that because it
has important consequences that erode social justice and peace in society. Rising inequality might
damage economic growth, might pose a serious barrier to social development and hamper well-being,
and might cause political instability.
Income inequality can be observed and analysed from various perspectives, such as regions,
cities, gender, education, family size, occupations, factors, status, etc. A different way of analysis of
income inequality can be made by comprising and harmonising three categories of income, namely
income by occupations, income by employment status, and types of income (functional income). In this
way, a relative income index has been constituted to demonstrate the top income receivers from every
income category. It has been found that the managers from the first category, employers from the
second category, and entrepreuners, rent and interest receivers from the third category constitute the
top income receivers.
The aim of this paper is to highlight that the top income receivers from aforesaid three
income categories contribute to income inequality the most in Turkey. It has been concluded that proequal
public policies should be devised to reduce inequalities.  

Kaynakça

  • ACEMOGLU, D. and Robinson, J.A. (2000) Why did the West Extend the Franchise? Democracy, inequality, and growth in historical perspective. The Quarterly Journal of Economics 115: 1167-1199.
  • ALBERTINI, M (2013) The relation between social class and economic inequality: A strengthening or weakening nexus? Evidence from the last three decades of inequality in Italy. Research in Social Stratification and Mobility, 33: 27–39.
  • ALVAREDO, F et al (2013) The Top 1 Percent in International and Historical Perspective, Journal of Economic Perspectives, 27(3): 3-20.
  • ATKINSON, A, Piketty T and Saez E (2011) Top Incomes in the Long Run of History, Journal of Economic Literature, 49: 3–71.
  • CASEY, C and Alach P (2004) Just a Temp?: Women, Temporary Employment and Lifestyle, Work Employment and Society, 18:459-464.
  • CARD, D and DiNardo J (2002) Technological Change and Rising Wage Inequality: Some Problems and Puzzles, Journal of Labor Economics, 20(4): 734-735.
  • CORLEY, M, Perardel, Y and Popova, K (2005) Wage inequality by gender and occupation: A cross-country analysis. ILO Employment Strategy Papers, 20: 1-26.
  • DABLA-NORRIS, E (2015) Causes and Consequences of Income Inequality: A Global Perspective , IMF SDN/15/13: 21.
  • FREDERIKSEN, A and Poulsen O (2010) Increasing Income Inequality: Productivity, Bargaining and Skill-Upgrading, IZA Discussion Papers 4791; 15-17.
  • FREEMAN, Richard B (2010) It's financialization!, International Labour Review, 149(2): 163-183.
  • GALLIE, D (1996) New Technology and the Class Structure: The Blue-Collar/White-Collar Divide Revisited, The British Journal of Sociology, 47(3): 449-454.
  • GRAY, B. and Kish-Gephart, J.J. (2013). Encountering Social Class Differences at Work: How “Class Work” Perpetuates Inequality, Academy of Management Review, 38(4): 670- 699.
  • HUTH EJ, King K and Lock S (1988) Uniform requirements for manuscripts submitted to biomedical journals. British Medical Journal 296(4): 401–405.
  • ILO (2015) ISCO. Avaialable at: http://www.ilo.org/public/english/bureau/stat/isco/docs/resol08.pdf (accessed October 2015).
  • IMF, Economic Outlook database
  • KRUEGER, AB (2012) The Rise and Consequences of Inequality in the US. Speech at the Center for American Progress, Chairman, Council of Economic Advisers Washington DC. http://www.whitehouse.gov/sites/default/files/krueger_cap_speech_final_remarks.pdf (accessed October 2015).
  • LEVIN-WALDMAN, OM (2014) The Changing Contours of Long-Term Unemployment: The Need for a More Radical Policy, Journal of Economic Issues, 47(3): 849-870.
  • LI, H, Wang, D and Chen, X (2004) Job match and income distributions, Physica A, 341: 569–574.
  • MAEDA, Y and Ishida, A (2013) Income Comparison as a Determining Mechanism of Class Identification: A Quantitative and Simulation Study Using Japanese Survey Data, International Journal of Japanese Sociology, 22. MOSQUEIRA, VB and Fahimi Y (2014) Economic Inequality or Social Justice for Everybody? Available at: www.progressive-alliance.info (accessed January 2016).
  • PERTOLD-GEBICKA, B (2014) Job Market Polarization and Employment Protection in Europe, Acta Vsfs, 2(8): 132.
  • RAMBOTTI, S (2015) Recalibrating the spirit level: An analysis of the interaction of income inequality and poverty and its effect on health, Social Science & Medicine, 139: 123-131.
  • SAEZ, E (2013) Striking it Richer: The Evolution of Top Incomes in the United States. University of California, Berkeley, Discussion Note. Available at: http://eml.berkeley.edu/~saez/saez- UStopincomes-2012.pdf (accessed October 2015).
  • SAEZ, E et al (2014) Is the United States Still a Land of Opportunity? Recent Trends in Intergenerational Mobility. American Economic Review, 104: 141–147.
  • SEGAL, LM and Sullivan, DG (1995) The Temporary Labor Force, Economic Perspectives,19(2): 2-10.
  • SELİM, R, Günçavdı, Ö and Bayar, A (2014) Türkiye’de Bireysel Gelir Dağılımı Eşitsizlikleri: Fonksiyonel Gelir Kaynakları ve Bölgesel Eşitsizlikler (Personal Income Inequalities in Turkey: Functional Income Sources and Regional Inequalities), Turkish Business Association Report No. TÜSİAD-T/2014-06/554: 18-104.
  • SHATNAWI, D, Oaxaca, R and Ransom, M (2014) Movin’ on up: Hierarchical occupational segmentation and gender wage gaps, Journal of Economic Inequality, 12: 315–338.
  • STIGLITZ, JE(2012) Macroeconomic Fluctuations, Inequality, and Human Development, Journal of Human Development and Capabilities, 13: 31-58.
  • STIGLITZ, JE (2014) Reforming Taxation to Promote Growth and Equity, Roosevelt Institute, white paper. Available at: http://rooseveltinstitute.org/ (accessed November 2015).
  • STIGLITZ, JE (2015(a)) FED Policy, Inequality, & Equality of Opportunity, Roosevelt Institute, report. Available at: http://rooseveltinstitute.org/ (accessed January 2016).
  • STIGLITZ, JE (2015) The Origins of Inequality, and Policies to Contain It, National Tax Journal, 68: 425-448.
  • SÜMER, B and Baran, T (2015) Income Inequality: A Study of the Top Income Groups in Turkey, Journal of Entrepreneurship and Development, 10(1): 97-118.
  • TUIK, Turkish Statistics Institute (2015) Income and Living Conditions Survey; Household Budget Survey. Available at: www.tuik.gov.tr (accessed October 2015)
  • VAN DE WERFHORST, HG and Salverda, W (2012) Consequences of Economic Inequality: Introduction to a special issue, Research in Social Stratification and Mobility, 30: 377– 387.

INEQUALITY IN TURKEY BY INCOME CATEGORIES

Yıl 2016, , 101 - 116, 31.10.2016
https://doi.org/10.15637/jlecon.154

Öz

Income inequality has been observed across both advanced and emerging market economies
for the last thirty years. The neoliberal policies has resulted in a significant change in the distribution
of income and wealth around the world in favour of the top income receivers.
Uneven distribution of income has recently been one of the main issues for researchers and
policy makers. The reason why income inequality has been so high on the agenda is that because it
has important consequences that erode social justice and peace in society. Rising inequality might
damage economic growth, might pose a serious barrier to social development and hamper well-being,
and might cause political instability.
Income inequality can be observed and analysed from various perspectives, such as regions,
cities, gender, education, family size, occupations, factors, status, etc. A different way of analysis of
income inequality can be made by comprising and harmonising three categories of income, namely
income by occupations, income by employment status, and types of income (functional income). In this
way, a relative income index has been constituted to demonstrate the top income receivers from every
income category. It has been found that the managers from the first category, employers from the
second category, and entrepreuners, rent and interest receivers from the third category constitute the
top income receivers.
The aim of this paper is to highlight that the top income receivers from aforesaid three
income categories contribute to income inequality the most in Turkey. It has been concluded that proequal
public policies should be devised to reduce inequalities.  

Kaynakça

  • ACEMOGLU, D. and Robinson, J.A. (2000) Why did the West Extend the Franchise? Democracy, inequality, and growth in historical perspective. The Quarterly Journal of Economics 115: 1167-1199.
  • ALBERTINI, M (2013) The relation between social class and economic inequality: A strengthening or weakening nexus? Evidence from the last three decades of inequality in Italy. Research in Social Stratification and Mobility, 33: 27–39.
  • ALVAREDO, F et al (2013) The Top 1 Percent in International and Historical Perspective, Journal of Economic Perspectives, 27(3): 3-20.
  • ATKINSON, A, Piketty T and Saez E (2011) Top Incomes in the Long Run of History, Journal of Economic Literature, 49: 3–71.
  • CASEY, C and Alach P (2004) Just a Temp?: Women, Temporary Employment and Lifestyle, Work Employment and Society, 18:459-464.
  • CARD, D and DiNardo J (2002) Technological Change and Rising Wage Inequality: Some Problems and Puzzles, Journal of Labor Economics, 20(4): 734-735.
  • CORLEY, M, Perardel, Y and Popova, K (2005) Wage inequality by gender and occupation: A cross-country analysis. ILO Employment Strategy Papers, 20: 1-26.
  • DABLA-NORRIS, E (2015) Causes and Consequences of Income Inequality: A Global Perspective , IMF SDN/15/13: 21.
  • FREDERIKSEN, A and Poulsen O (2010) Increasing Income Inequality: Productivity, Bargaining and Skill-Upgrading, IZA Discussion Papers 4791; 15-17.
  • FREEMAN, Richard B (2010) It's financialization!, International Labour Review, 149(2): 163-183.
  • GALLIE, D (1996) New Technology and the Class Structure: The Blue-Collar/White-Collar Divide Revisited, The British Journal of Sociology, 47(3): 449-454.
  • GRAY, B. and Kish-Gephart, J.J. (2013). Encountering Social Class Differences at Work: How “Class Work” Perpetuates Inequality, Academy of Management Review, 38(4): 670- 699.
  • HUTH EJ, King K and Lock S (1988) Uniform requirements for manuscripts submitted to biomedical journals. British Medical Journal 296(4): 401–405.
  • ILO (2015) ISCO. Avaialable at: http://www.ilo.org/public/english/bureau/stat/isco/docs/resol08.pdf (accessed October 2015).
  • IMF, Economic Outlook database
  • KRUEGER, AB (2012) The Rise and Consequences of Inequality in the US. Speech at the Center for American Progress, Chairman, Council of Economic Advisers Washington DC. http://www.whitehouse.gov/sites/default/files/krueger_cap_speech_final_remarks.pdf (accessed October 2015).
  • LEVIN-WALDMAN, OM (2014) The Changing Contours of Long-Term Unemployment: The Need for a More Radical Policy, Journal of Economic Issues, 47(3): 849-870.
  • LI, H, Wang, D and Chen, X (2004) Job match and income distributions, Physica A, 341: 569–574.
  • MAEDA, Y and Ishida, A (2013) Income Comparison as a Determining Mechanism of Class Identification: A Quantitative and Simulation Study Using Japanese Survey Data, International Journal of Japanese Sociology, 22. MOSQUEIRA, VB and Fahimi Y (2014) Economic Inequality or Social Justice for Everybody? Available at: www.progressive-alliance.info (accessed January 2016).
  • PERTOLD-GEBICKA, B (2014) Job Market Polarization and Employment Protection in Europe, Acta Vsfs, 2(8): 132.
  • RAMBOTTI, S (2015) Recalibrating the spirit level: An analysis of the interaction of income inequality and poverty and its effect on health, Social Science & Medicine, 139: 123-131.
  • SAEZ, E (2013) Striking it Richer: The Evolution of Top Incomes in the United States. University of California, Berkeley, Discussion Note. Available at: http://eml.berkeley.edu/~saez/saez- UStopincomes-2012.pdf (accessed October 2015).
  • SAEZ, E et al (2014) Is the United States Still a Land of Opportunity? Recent Trends in Intergenerational Mobility. American Economic Review, 104: 141–147.
  • SEGAL, LM and Sullivan, DG (1995) The Temporary Labor Force, Economic Perspectives,19(2): 2-10.
  • SELİM, R, Günçavdı, Ö and Bayar, A (2014) Türkiye’de Bireysel Gelir Dağılımı Eşitsizlikleri: Fonksiyonel Gelir Kaynakları ve Bölgesel Eşitsizlikler (Personal Income Inequalities in Turkey: Functional Income Sources and Regional Inequalities), Turkish Business Association Report No. TÜSİAD-T/2014-06/554: 18-104.
  • SHATNAWI, D, Oaxaca, R and Ransom, M (2014) Movin’ on up: Hierarchical occupational segmentation and gender wage gaps, Journal of Economic Inequality, 12: 315–338.
  • STIGLITZ, JE(2012) Macroeconomic Fluctuations, Inequality, and Human Development, Journal of Human Development and Capabilities, 13: 31-58.
  • STIGLITZ, JE (2014) Reforming Taxation to Promote Growth and Equity, Roosevelt Institute, white paper. Available at: http://rooseveltinstitute.org/ (accessed November 2015).
  • STIGLITZ, JE (2015(a)) FED Policy, Inequality, & Equality of Opportunity, Roosevelt Institute, report. Available at: http://rooseveltinstitute.org/ (accessed January 2016).
  • STIGLITZ, JE (2015) The Origins of Inequality, and Policies to Contain It, National Tax Journal, 68: 425-448.
  • SÜMER, B and Baran, T (2015) Income Inequality: A Study of the Top Income Groups in Turkey, Journal of Entrepreneurship and Development, 10(1): 97-118.
  • TUIK, Turkish Statistics Institute (2015) Income and Living Conditions Survey; Household Budget Survey. Available at: www.tuik.gov.tr (accessed October 2015)
  • VAN DE WERFHORST, HG and Salverda, W (2012) Consequences of Economic Inequality: Introduction to a special issue, Research in Social Stratification and Mobility, 30: 377– 387.
Toplam 33 adet kaynakça vardır.

Ayrıntılar

Bölüm Makaleler
Yazarlar

Beyza Sümer

Yayımlanma Tarihi 31 Ekim 2016
Yayımlandığı Sayı Yıl 2016

Kaynak Göster

APA Sümer, B. (2016). INEQUALITY IN TURKEY BY INCOME CATEGORIES. Journal of Life Economics, 3(4), 101-116. https://doi.org/10.15637/jlecon.154