An Analysis of Income Inequality with the Ordered Probit Model: A Comparison of Countries of the International Organizations

• Main Authors: Wan-Chieh Tsai, 蔡宛倢
• Other Authors: Jo-Hui Chen
• Format: Others
• Language: en_US
• Published: 2005
• Online Access: http://ndltd.ncl.edu.tw/handle/4n94jr

碩士 === 中原大學 === 企業管理研究所 === 93 === Amount of literatures have emerged to detect the relationship between economic growth and income inequality with the path of economic development and globalization. Gini coefficient was adapted to measure inequality and classified into 4 levels. The ordered probit model was applied to conduct the analysis for income inequality, basing on 20 countries for the period from 1993 to 2000. Then the marginal effect was provided to examine the key elements that would influence the GINI rating changes. The empirical results indicated that export incentives (EXC) and poverty countries (POV) would lead to positive impact on the GINI rating. EU and APEC have negative impact on GINI rating comparing to LAIA. Moreover, the marginal effect revealed that export incentives (EXC) would increase inequality for countries with higher inequality and reduce inequality for those with relative even income distribution. APEC an EU are with higher efficiency moving from inequality to equality comparing to those countries in LAIA.