Institutional Quality and Income Inequality: Evidence from Post-Soviet Countries

Radek Náplava

European Journal of Business Science and Technology, 2020, vol. 6, issue 2, 100-112

Abstract: This paper focuses on identifying the relationship between institutional quality and income inequality in chosen post-Soviet countries during the period 2002-2017. Using panel analysis is found a nonmonotonic relationship between institutional quality and income inequality. Increasing institutional quality is associated with growing income inequality, but only to a certain extent; from a certain level, higher institutional quality leads to a reduction in income inequality. The growing institutional quality leads to a deepening of income inequality between the richest social class compared to the poorest and middle class. Role in this process plays a particular regulatory quality, which - as it seems - favors the upper 20%.

Keywords: institutional quality; income distribution; income inequality; middle class (search for similar items in EconPapers)
JEL-codes: O15 P48 (search for similar items in EconPapers)
Date: 2020
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Citations: View citations in EconPapers (1)

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Persistent link: https://EconPapers.repec.org/RePEc:men:journl:v:6:y:2020:i:2:p:100-112

DOI: 10.11118/ejobsat.2020.007

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