The impact of informal sector on income distribution: Could concentration of income be explained by the size of informal sector?

This paper uses a cross-sectional data to explore the impact that informal sector has on income variation across different income categories. Instead of using GINI coefficient, the paper considers income shares of decile groups of population. The results reflect a dual role of informal sector in eco...

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Main Author: Mahieddine Adnan Ghecham
Format: Article
Language:English
Published: EconJournals 2017-03-01
Series:International Journal of Economics and Financial Issues
Subjects:
Online Access:https://dergipark.org.tr/tr/pub/ijefi/issue/32002/353244?publisher=http-www-cag-edu-tr-ilhan-ozturk
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author Mahieddine Adnan Ghecham
author_facet Mahieddine Adnan Ghecham
author_sort Mahieddine Adnan Ghecham
collection DOAJ
description This paper uses a cross-sectional data to explore the impact that informal sector has on income variation across different income categories. Instead of using GINI coefficient, the paper considers income shares of decile groups of population. The results reflect a dual role of informal sector in economy. On one hand, informal sector could reduce the gap between income earners at the bottom level of income categories. On the other hand, the size of informal sector could exacerbate the gap between top income earners and other categories indicating further concentration of income. Some implications are discussed.
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spelling doaj.art-c80e6d758d7f4b90aa7c891bfcf2d12f2023-02-15T16:10:01ZengEconJournalsInternational Journal of Economics and Financial Issues2146-41382017-03-01715946001032The impact of informal sector on income distribution: Could concentration of income be explained by the size of informal sector?Mahieddine Adnan GhechamThis paper uses a cross-sectional data to explore the impact that informal sector has on income variation across different income categories. Instead of using GINI coefficient, the paper considers income shares of decile groups of population. The results reflect a dual role of informal sector in economy. On one hand, informal sector could reduce the gap between income earners at the bottom level of income categories. On the other hand, the size of informal sector could exacerbate the gap between top income earners and other categories indicating further concentration of income. Some implications are discussed.https://dergipark.org.tr/tr/pub/ijefi/issue/32002/353244?publisher=http-www-cag-edu-tr-ilhan-ozturkincome distribution informal sector concentration of income.
spellingShingle Mahieddine Adnan Ghecham
The impact of informal sector on income distribution: Could concentration of income be explained by the size of informal sector?
International Journal of Economics and Financial Issues
income distribution
informal sector
concentration of income.
title The impact of informal sector on income distribution: Could concentration of income be explained by the size of informal sector?
title_full The impact of informal sector on income distribution: Could concentration of income be explained by the size of informal sector?
title_fullStr The impact of informal sector on income distribution: Could concentration of income be explained by the size of informal sector?
title_full_unstemmed The impact of informal sector on income distribution: Could concentration of income be explained by the size of informal sector?
title_short The impact of informal sector on income distribution: Could concentration of income be explained by the size of informal sector?
title_sort impact of informal sector on income distribution could concentration of income be explained by the size of informal sector
topic income distribution
informal sector
concentration of income.
url https://dergipark.org.tr/tr/pub/ijefi/issue/32002/353244?publisher=http-www-cag-edu-tr-ilhan-ozturk
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