Please use this identifier to cite or link to this item: http://hdl.handle.net/10419/190399
Authors: 
Ningsih, Caria
Choi, Yong-Jae
Year of Publication: 
2018
Series/Report no.: 
The 22nd Biennial Conference of the International Telecommunications Society: "Beyond the boundaries: Challenges for business, policy and society", June 24th - 27th, 2018, Seoul, Korea
Abstract: 
Income inequality has become one of the major economic policy issues in developed and developing countries alike. Among ASEAN countries we have witnessed rising income inequality in Indonesia, Lao, Singapore and Vietnam over the recent years while the other ASEAN countries, such as Cambodia, Malaysia, Philippines, and Thailand have shown more or less reduced income inequality. This study examines determinants of income inequality in Southeast Asian countries. Using panel regression analysis, this study focuses on the impact of technological change, globalization and tax policy on income inequality. This study shows that internet penetration as a proxy of technological change has reduced income inequality significantly, tax revenue to GDP ratio has also reduced income inequality, but the effect is not significant. Globalization measured by FDI and trade to GDP ratio has increased income inequality, although FDI impact is not significant. Other control variables, such as ratio of secondary education enrollment, real GDP per capita and depreciation of real exchange rate have significantly improved income inequality. On the other hand, real interest rate and inflation have affected income inequality insignificantly in ASEAN countries.
Subjects: 
Income Inequality
Internet Penetration
Gini Index
ASEAN
Document Type: 
Conference Paper
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