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The Impact of Income Inequality on Educational Outputs in Selected Middle East and North Africa Countries
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Seyed Ehsan Khandouzi *   , Mehrad Salehi Fard , Hossein Rahmanizadeh |
| Department of Islamic Economics, Faculty of Economics, Allameh Tabataba'i University , smkhandoozi@gmail.com |
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Abstract: (37 Views) |
Improving the quantity and quality of education is vital for development, aiming to boost productivity, general welfare, and reduce income inequality by enhancing human capital. This research examines the impact of income inequality on educational outputs in selected Middle Eastern and North African (MENA) countries from 2001 to 2020, utilizing a Fully Modified Least Squares (FMOLS) panel method. Educational outputs are defined by two metrics: the average number of years of schooling for adults and the expected years of schooling for children. These are analyzed against explanatory variables including the Gini coefficient (an indicator of income inequality), GDP per capita, population growth rate, and dependency ratio. The study's results show a significant negative effect of the Gini coefficient on educational outputs, meaning higher income inequality is detrimental to educational attainment. In contrast, GDP per capita demonstrates a positive and significant influence, suggesting that economic growth supports educational development. Both population growth rate and dependency ratio exhibited negative and significant impacts on the dependent educational variables. Furthermore, the error correction terms indicate very slow adjustments to imbalances, with coefficients of 0.0001 for average years of education and 0.0064 for expected years of education. The findings highlight the importance of addressing income inequality to foster better educational outcomes in the region. |
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| Keywords: Expected years of schooling, Average number of years of schooling, Income inequality |
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Full-Text [PDF 1059 kb]
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Type of Study: Applicable |
Subject:
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