Is financial integration driver of income inequality A panel co-integration analysis in Europe

نویسندگان

چکیده

Research on income inequality and finance has become an increasingly popular research area in the post-crisis period. Fully modified (FMOLS) dynamic OLS (DOLS) co-integrated regression models are employed to empirically explore estimate long run co-integration vector for non-stationary panels between 2000 2016. The study finds that a NMS-11 with relatively lower integrated international financial flows experience levels of than older EU-15 members have more flows. These countries greater inequality. Financial development generally leads decreased whole sample NMS-11, whereas results mixed old members. recommends government policies, especially European transition countries, prioritise further market reforms (credit stock markets) freedom minimise interference vital sector thus economic growth.

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ژورنال

عنوان ژورنال: International Journal of Economic Policy in Emerging Economies

سال: 2021

ISSN: ['1752-0452', '1752-0460']

DOI: https://doi.org/10.1504/ijepee.2021.10033940