Lorenz Curve, Gini Coefficient and the Income Inequality in Turkey in the Last 13 Years

Abstract

Today income inequality and poverty are among highly disputed issues all over the world. It has been well understood that this problem can not be solved only with economic growth. Some social policy implementations conducive to redistribute the national income are essential to create a decrease in social and eceonomic inequalities. This is also true for Turkey. In last decade Turkey has managed high growth rates, budget discipline and improved some basic public services. As a result, absolute poverty rates decreased considerably. Although Turkey's welfare regime is going through a serious transformation process with effect of EU accession process, these policies have not been able to reduce relative poverty rates and income inequalities. Consequently Turkey's last decade is marked by high gini coefficients and income inequalities. It is obvious that there is a great need to develop a welfare regime which is able to establish a more fair income distribution.