DOES RAPID ECONOMIC GROWTH SPUR THE INEQUALITY OF INCOME DISTRIBUTION? PROJECTION ON SELECTED OECD COUNTRIES BETWEEN 1987-2017

Abstract

Author(s): M. Veysel KAYA Abdülkadir TIĞLI**

The issue of income distribution inequality has been one of the main investigations of macro economic problems, in last decades. The unrelieved increasing of inequality with several socio-economic drawbacks within its factual structure, cannot be prevented in capitalist order. Inasmuch as, the problematic contains various and well rounded reasons. With the encouragement of the industrial revolution; capitalists, focused on economic growth, have not had the time to think about the problem of income distribution inequality. Although the government factor came into play to solve the problem, the dominance of capital debilitated the sovereign of governmental institution. It is generally known that the problem of income distribution inequality is in under developed and developing countries. However, the obtained data indicated that; the same drawback is encountered in developed economies. The most obvious exemplifications of this issue are the US and PRC economies. Both of them are the largest two countries in the world. Yet, both of them have high Gini index levels in the last instance. Additionally, though the high Gini coefficient data, the per capita GDP values are really well in the USA. This circumstance indicates that the upper-income groups have exceeding income level

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