TY - JOUR
T1 - Is income inequality reflected in consumption inequality in Iran?
AU - Noghanibehambari, Hamid
AU - Rahnamamoghadam, Masha
N1 - Publisher Copyright:
© 2020 Economic Research Forum.
Copyright:
Copyright 2020 Elsevier B.V., All rights reserved.
PY - 2020
Y1 - 2020
N2 - This paper presents a descriptive analysis of the evolution of labor supply, income, and consumption inequality in Iran using the 2005–2015 waves of the survey of Household Expenditure and Income (HIES). We document that the sharp decline in income and consumption inequality after the Subsidy Reform in 2010 was accompanied by a slight but persistent rise in respective inequality measures. We find that not only the level of income inequality is higher than consumption inequality but also that the fluctuations in income inequality are larger than those of consumption inequality. Moreover, income and consumption inequalities among rural households are higher compared to urban families. Finally, we show that within-group inequality, the inequality due to circumstances, can explain a considerable portion of the divergence observed between income and consumption inequalities.
AB - This paper presents a descriptive analysis of the evolution of labor supply, income, and consumption inequality in Iran using the 2005–2015 waves of the survey of Household Expenditure and Income (HIES). We document that the sharp decline in income and consumption inequality after the Subsidy Reform in 2010 was accompanied by a slight but persistent rise in respective inequality measures. We find that not only the level of income inequality is higher than consumption inequality but also that the fluctuations in income inequality are larger than those of consumption inequality. Moreover, income and consumption inequalities among rural households are higher compared to urban families. Finally, we show that within-group inequality, the inequality due to circumstances, can explain a considerable portion of the divergence observed between income and consumption inequalities.
KW - Inequality
KW - Iran
KW - consumption
KW - income
KW - transition
UR - http://www.scopus.com/inward/record.url?scp=85086646494&partnerID=8YFLogxK
U2 - 10.1080/17938120.2020.1770488
DO - 10.1080/17938120.2020.1770488
M3 - Article
AN - SCOPUS:85086646494
VL - 12
SP - 284
EP - 303
JO - Middle East Development Journal
JF - Middle East Development Journal
SN - 1793-8120
IS - 2
ER -