Estimation of Multidimension Gini Coefficient in Comparison with the Unidimensional in Iran

Document Type : Research Paper

Authors

1 Professor of Econometrics & Social Statistics, Department of Economics, University of Semnan.

2 Department of Economics, Faculty of Economics, University of Semnan, Semnan, Iran

Abstract

Unidimensional inequality has been estimated many times; but individual well-being is a multi-dimensional concept that depends not only on income but also on other benefits such as education, health, and housing. The main aim in this research has been to evaluate the inequality concerning commodity groups in the household basket and compare the multi-dimensional inequality with that of one-dimensional (total expenditure) inequality for urban, and rural areas as well as the country as a whole. Therefore, the multidimensional Gini coefficient is estimated according Kumar Banerjee (2010) during the period 1984-2021. Doing so, we have used the household income-expenditure microdata collected in the 9 commodity groups of food, clothing, housing, services, health, recreation and entertainment, education, transportation and communication, and others by Statistical Center of Iran.  The results indicate that the multi-dimensional inequality trend have been increasing for urban and rural so the country as a whole, while the one-dimensional expenditure(unidimensional) inequality shows a decreasing trend and the gap between trends were also increasing. The multidimensional inequality headways been more than that of unidimensional inequality level as has been expected, which more corresponds with real evidence in Iran.
JEL Classification: D3, I14, I24, I3

Keywords

Main Subjects

References

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History

  • Receive Date: 23 February 2023
  • Revise Date: 24 May 2023
  • Accept Date: 06 June 2023

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