Abstract
This research examines the influence of the economic complexity index, GDP per capita, gross higher education participation ratio, government spending on education, and fertility rates on income inequality in G20 Forum member countries from 2010 to 2019. The dynamic panel data regression method with the two-step System Generalized Method of Moments (SYS-GMM) estimation technique is used to analyze the data in this study. The findings reveal that the economic complexity index, GDP per capita squared, government spending on education, and fertility levels have a negative and significant effect on income inequality. Meanwhile, GDP per capita and gross enrollment rates in tertiary education have a significant positive effect on income inequality. This study shows that the economic complexity index and the quality of human resources can reduce income inequality. Therefore, policies that focus on improving the quality of human resources need to be considered to encourage innovation, increase GDP per capita, and ultimately reduce income inequality.
Talk to us
Join us for a 30 min session where you can share your feedback and ask us any queries you have
Disclaimer: All third-party content on this website/platform is and will remain the property of their respective owners and is provided on "as is" basis without any warranties, express or implied. Use of third-party content does not indicate any affiliation, sponsorship with or endorsement by them. Any references to third-party content is to identify the corresponding services and shall be considered fair use under The CopyrightLaw.