Impact of income inequality on human development: Panel data analysis for a state analysis in México
Abstract
Inequality in Mexico leads to a series of consequences that affect the quality of life in the states of the country and it is necessary to measure the impact that this variable has on the well-being, to generate better public mechanisms. The objective of this research is to analyze the effects of the relationship between inequality, income and the human development index, through the application of a panel data methodology, in the 32 states of the country from 2008 to 2018, using data from the National Household Income and Expenditure Survey. The results show that there is an inverse correlation between the variables, therefore, the possible incidence of reducing inequality favors better levels of the human development index. In conclusion, the correct distribution of income contributes to improving health and education, that is, to improve the living standards.
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