Human capital inequality and income inequality: developing countries
This paper examines the effect of human capital inequality on income inequality in Developing Countries. Gini coefficient is used as a consistent measurement for both inequalities. This paper also adds a few control variables: Globalization Index, GDP per capita and total population. It uses dynamic...
| Main Authors: | , |
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| Format: | Article |
| Language: | English |
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Universiti Putra Malaysia Press
2013
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| Online Access: | http://psasir.upm.edu.my/id/eprint/28326/1/28326.pdf |
| _version_ | 1796971307658641408 |
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| author | Mahmood, Suraya Mohd Noor, Zaleha |
| author_facet | Mahmood, Suraya Mohd Noor, Zaleha |
| author_sort | Mahmood, Suraya |
| collection | UPM |
| description | This paper examines the effect of human capital inequality on income inequality in Developing Countries. Gini coefficient is used as a consistent measurement for both inequalities. This paper also adds a few control variables: Globalization Index, GDP per capita and total population. It uses dynamic panel data two-Step System Generalized Method of Moment (GMM) for 52 countries over the period of 1970-2010. The empirical results show that human capital inequality has a significance positive effect on income inequality. This result is similar with the theoretical framework, where the human capital inequality and income inequality are positively correlated. However, other control variables such as Global and total population are insignificant with income inequality except for GDP per capita at 5 and 10 percent level. Thus, in order to reduce income inequality and to give citizens equal opportunities, governments of developing countries and policymakers need to minimise human capital inequality. |
| first_indexed | 2024-03-06T08:11:02Z |
| format | Article |
| id | upm.eprints-28326 |
| institution | Universiti Putra Malaysia |
| language | English |
| last_indexed | 2024-03-06T08:11:02Z |
| publishDate | 2013 |
| publisher | Universiti Putra Malaysia Press |
| record_format | dspace |
| spelling | upm.eprints-283262015-09-21T02:09:20Z http://psasir.upm.edu.my/id/eprint/28326/ Human capital inequality and income inequality: developing countries Mahmood, Suraya Mohd Noor, Zaleha This paper examines the effect of human capital inequality on income inequality in Developing Countries. Gini coefficient is used as a consistent measurement for both inequalities. This paper also adds a few control variables: Globalization Index, GDP per capita and total population. It uses dynamic panel data two-Step System Generalized Method of Moment (GMM) for 52 countries over the period of 1970-2010. The empirical results show that human capital inequality has a significance positive effect on income inequality. This result is similar with the theoretical framework, where the human capital inequality and income inequality are positively correlated. However, other control variables such as Global and total population are insignificant with income inequality except for GDP per capita at 5 and 10 percent level. Thus, in order to reduce income inequality and to give citizens equal opportunities, governments of developing countries and policymakers need to minimise human capital inequality. Universiti Putra Malaysia Press 2013-09 Article PeerReviewed application/pdf en http://psasir.upm.edu.my/id/eprint/28326/1/28326.pdf Mahmood, Suraya and Mohd Noor, Zaleha (2013) Human capital inequality and income inequality: developing countries. Pertanika Journal of Social Sciences & Humanities, 21 (spec. Aug.). pp. 189-200. ISSN 0128-7702; ESSN: 2231-8534 http://www.pertanika.upm.edu.my/Pertanika%20PAPERS/JSSH%20Vol.%2021%20%28S%29%20Sep.%202013/13%20Page%20189-200.pdf |
| spellingShingle | Mahmood, Suraya Mohd Noor, Zaleha Human capital inequality and income inequality: developing countries |
| title | Human capital inequality and income inequality: developing countries |
| title_full | Human capital inequality and income inequality: developing countries |
| title_fullStr | Human capital inequality and income inequality: developing countries |
| title_full_unstemmed | Human capital inequality and income inequality: developing countries |
| title_short | Human capital inequality and income inequality: developing countries |
| title_sort | human capital inequality and income inequality developing countries |
| url | http://psasir.upm.edu.my/id/eprint/28326/1/28326.pdf |
| work_keys_str_mv | AT mahmoodsuraya humancapitalinequalityandincomeinequalitydevelopingcountries AT mohdnoorzaleha humancapitalinequalityandincomeinequalitydevelopingcountries |