DETERMINANTS OF INCLUSIVE GROWTH IN IRANIAN REGIONS (SURE APPROACH IN PANEL DATA)

Majid Feshari () and Mojtaba Valibeigi
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Majid Feshari: Assistant Professor of Economics, Kharazmi University
Mojtaba Valibeigi: Assistant Professor of Urban Planning, Buein Zahra Technical University

Regional Science Inquiry, 2017, vol. IX, issue 1, 167-175

Abstract: The concept of inclusive growth is one of the important issues in the urban economics literature and has been considered in empirical studies recently. For this purpose, the aim of this paper is to investigate the relationship between income inequality and GDP growth in Iranian provinces over the period of 2000-2014. To conduct this study, the econometric model has been estimated by applying seemingly unrelated regression in panel data for 30 Iran’s provinces. The main findings of this paper shows that the Gini coefficient as a proxy for income inequality, unemployment rate have negative impact and initial value of Gini coefficient has positive and significant effect on the growth of GDP respectively. The overall conclusion of this study suggests that inequality of Iranian provinces can be declined by improving employment and growth of GDP in Iranian provinces.

Keywords: Inclusive Growth; GDP Growth; SURE Approach; Panel Data (search for similar items in EconPapers)
JEL-codes: C23 O15 R11 (search for similar items in EconPapers)
Date: 2017
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Citations: View citations in EconPapers (1)

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Persistent link: https://EconPapers.repec.org/RePEc:hrs:journl:v:ix:y:2017:i:1:p:167-175

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