Indian Journal of Finance

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A Study on Trend of the Income Inequality: Evidence from Bangladesh


Affiliations
1 Associate Professor, School of Business, Ahsanullah University of Science and Technology, Dhaka, Bangladesh
2 Assistant Professor, Department of Marketing, University of Dhaka, Dhaka-1000, Bangladesh
3 Assistant Professor, School of Business, Ahsanullah University of Science and Technology, Bangladesh

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This paper seeks to unfold the relationship between income inequality, poverty and economic growth in Bangladesh for the period 1974 - 2006. For the measurement of the income inequality, Gini Coefficient has been used. For analyzing the overall trend in the income inequality national, urban and rural, Gini Coefficients from 1974 to 2006 have been investigated. The trend in national, urban and rural Gini Coefficients express the state of national, urban and rural income inequality and poverty. With the aim of examining the correlations among income inequality, poverty and growth of the economy, correlations and coefficient of regressions among the growth of the GDP, national, urban and rural Gini Coefficients have been computed and analyzed. Finally, validating the findings of the data analysis opinion survey has been done. In the end, on the basis of findings of the study suggestions for the reduction of the income inequality and poverty have been made.

Keywords

Absolute Poverty, Calorie Intake, Correlation, Coefficient of Regression, Gini Coefficient, Hard Core Poverty, Income Inequality, Lorenz Curve, Poverty, Poverty Line-1, Poverty-Line-2.
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  • A Study on Trend of the Income Inequality: Evidence from Bangladesh

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Authors

Shyamapada Biswas
Associate Professor, School of Business, Ahsanullah University of Science and Technology, Dhaka, Bangladesh
Ataur Rahman
Assistant Professor, Department of Marketing, University of Dhaka, Dhaka-1000, Bangladesh
Salman Salem Shinwary
Assistant Professor, School of Business, Ahsanullah University of Science and Technology, Bangladesh

Abstract


This paper seeks to unfold the relationship between income inequality, poverty and economic growth in Bangladesh for the period 1974 - 2006. For the measurement of the income inequality, Gini Coefficient has been used. For analyzing the overall trend in the income inequality national, urban and rural, Gini Coefficients from 1974 to 2006 have been investigated. The trend in national, urban and rural Gini Coefficients express the state of national, urban and rural income inequality and poverty. With the aim of examining the correlations among income inequality, poverty and growth of the economy, correlations and coefficient of regressions among the growth of the GDP, national, urban and rural Gini Coefficients have been computed and analyzed. Finally, validating the findings of the data analysis opinion survey has been done. In the end, on the basis of findings of the study suggestions for the reduction of the income inequality and poverty have been made.

Keywords


Absolute Poverty, Calorie Intake, Correlation, Coefficient of Regression, Gini Coefficient, Hard Core Poverty, Income Inequality, Lorenz Curve, Poverty, Poverty Line-1, Poverty-Line-2.