Document Type : Article-Based Dissertations

Authors

1 ندارم

2 chamran

3 chamran university

10.22055/jqe.2024.46837.2627

Abstract

One of the important issues in the regional economy is how to distribute the resources and facilities of the country in the spatial and geographical dimension, in such a way that it leads to balance among the regions, and one of the indicators of imbalance among the regions is income inequality. Improving income distribution is considered one of the most important goals of governments. Unequal distribution of income and wealth in society cause many problems in the economic, social and political fields of the country. Therefore, one of the economic duties of the government is the proper distribution of income and wealth. The government's financial policies can be effective in reducing inequality and redistributing income. The government's policy tool for implementing this policy in the provinces is the size of the provincial government. The purpose of this research is to investigate the effect of government size on income distribution in the provinces of Iran. For this purpose, the Gini coefficient index of urban areas used as an index of income inequality. The data of this research collected in library form and covers 30 provinces of Iran (except Alborz) during the years 2006 to 2021. To estimate the effect of government size on income distribution in the provinces of Iran, the generalized method of moments (GMM) used in this research. The results of the estimation of the research model showed that at the 95% confidence level, the size of the provincial government, the ratio of urbanization and GDP per capita have a negative and significant effect on the income inequality level of the provinces. Also, the results showed that at the 95% confidence level, the average size of the household, population dependency ratio and population density had a positive and significant effect on the Gini coefficient.

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