RELATIONSHIP BETWEEN INFLATION AND INCOME DISTRIBUTION: AN ANALYSIS FOR TURKEY USING ARDL APPROACH

Authors : Seyit Ali Miçooğullari

Pages : 78-87

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Publication Date : 2023-10-15

Article Type : Research Paper

Abstract :Income inequality/inequity stands among the fundamental macroeconomic issues of economies. Inflation is one of the most significant macroeconomic factors affecting income distribution. The aim of this study is to analyze the impact of inflation on income distribution in the Turkish economy for the period 1987-2021, using annual data to examine both short-term and long-term relationships. The method employed is the ARDL (AutoRegressive Distributed Lag) bounds testing approach developed by Pesaran et al. (2001). According to the analysis findings, the effect of inflation on income distribution is identified as positive in both the short and long term.
Keywords : Enflasyon, Gelir dağılımı, Gini katsayısı, Türkiye