The Effects of Social Spending on Income Inequality  in 30 OECD Countries

Verberi, Can; Yaşar, Sema

doi:https://dx.doi.org/10.26650/ISTJECON2021-808121

Araştırma Makalesi

DOI :10.26650/ISTJECON2021-808121 IUP :10.26650/ISTJECON2021-808121 Tam Metin (PDF)

The Effects of Social Spending on Income Inequality in 30 OECD Countries

Social spending programs began to be implemented in the post-World War II period owing to the positive developments in economic and demographic indicators. In the following years, governments used social spending programs to eliminate income differences between income groups due to their increasing social benefit function. Hence, the redistribution of income from high-income groups to low-income groups occurs through taxation. The unfairly distributed income lead to not direct human capital and public resources for productive economic activities. Accordingly, governments try to minimize or remove the negative effects of income inequality by social spendings. The study aims at investigating the relationship between social spendings and income inequality in 2009, 2011, the years when the effect of the 2008 crisis observed in the world, and 2015 not being the crisis year by the OLS method by cross-section regression analysis in 30 OECD countries. The analysis results show that an increase in social spending reduces income inequality. Moreover, trade openness negatively affects income inequality, unemployment increases income inequality, and it is possible to interpret that the positive effect of social expenditures on income distribution decreased during the crisis years by compared to the year-based estimation results.

Anahtar Kelimeler: Income inequality, Social spendings, Cross section data analysis

JEL Classification : D31 , D63 , E25 , H53 , I38

DOI :10.26650/ISTJECON2021-808121 IUP :10.26650/ISTJECON2021-808121 Tam Metin (PDF)

30 OECD Ülkesinde Sosyal Harcamaların Gelir Eşitsizliği Üzerindeki Etkisi

Can Verberi, Sema Yaşar

Sosyal harcama programları İkinci Dünya Savaşı sonrasındaki dönemde yaşanan olumlu ekonomik ve demografik gelişmeler sonucu uygulanmaya başlamıştır. Daha sonraki yıllarda ise hükümetler sosyal faydayı artırma fonksiyonundan dolayı sosyal harcama programlarını gelir grupları arasındaki gelir farklılıklarının giderilmesi amacıyla bir araç olarak kullanmıştır. Böylece, vergilendirme yoluyla gelirin yüksek gelirli gruplardan düşük gelirli gruplara transferiyle yeniden dağıtımı gerçekleşmektedir. Adaletsiz dağıtılan gelir, beşeri sermaye ve kamu kaynaklarının verimli ekonomik faaliyetlere yönlendirilmemesine yol açmaktadır. Sosyal harcama programları İkinci Dünya Savaşı sonrasındaki dönemde yaşanan olumlu ekonomik ve demografik gelişmeler sonucu uygulanmaya başlamıştır. Daha sonraki yıllarda ise hükümetler sosyal faydayı artırma fonksiyonundan dolayı sosyal harcama programlarını gelir grupları arasındaki gelir farklılıklarının giderilmesi amacıyla bir araç olarak kullanmıştır. Böylece, vergilendirme yoluyla gelirin yüksek gelirli gruplardan düşük gelirli gruplara transferiyle yeniden dağıtımı gerçekleşmektedir. Adaletsiz dağıtılan gelir, beşeri sermaye ve kamu kaynaklarının verimli ekonomik faaliyetlere yönlendirilmemesine yol açmaktadır.

Anahtar Kelimeler: Gelir eşitsizliği, Sosyal harcamalar, Yatay kesit veri analizi

JEL Classification : D31 , D63 , E25 , H53 , I38

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APA

Verberi, C., & Yaşar, S. (2021). The Effects of Social Spending on Income Inequality in 30 OECD Countries. İstanbul İktisat Dergisi, 71(1), 39-57. https://doi.org/10.26650/ISTJECON2021-808121

AMA

Verberi C, Yaşar S. The Effects of Social Spending on Income Inequality in 30 OECD Countries. İstanbul İktisat Dergisi. 2021;71(1):39-57. https://doi.org/10.26650/ISTJECON2021-808121

ABNT

Verberi, C.; Yaşar, S. The Effects of Social Spending on Income Inequality in 30 OECD Countries. İstanbul İktisat Dergisi, [Publisher Location], v. 71, n. 1, p. 39-57, 2021.

Chicago: Author-Date Style

Verberi, Can, and Sema Yaşar. 2021. “The Effects of Social Spending on Income Inequality in 30 OECD Countries.” İstanbul İktisat Dergisi 71, no. 1: 39-57. https://doi.org/10.26650/ISTJECON2021-808121

Chicago: Humanities Style

Verberi, Can, and Sema Yaşar. “The Effects of Social Spending on Income Inequality in 30 OECD Countries.” İstanbul İktisat Dergisi 71, no. 1 (Sep. 2025): 39-57. https://doi.org/10.26650/ISTJECON2021-808121

Harvard: Australian Style

Verberi, C & Yaşar, S 2021, 'The Effects of Social Spending on Income Inequality in 30 OECD Countries', İstanbul İktisat Dergisi, vol. 71, no. 1, pp. 39-57, viewed 20 Sep. 2025, https://doi.org/10.26650/ISTJECON2021-808121

Harvard: Author-Date Style

Verberi, C. and Yaşar, S. (2021) ‘The Effects of Social Spending on Income Inequality in 30 OECD Countries’, İstanbul İktisat Dergisi, 71(1), pp. 39-57. https://doi.org/10.26650/ISTJECON2021-808121 (20 Sep. 2025).

MLA

Verberi, Can, and Sema Yaşar. “The Effects of Social Spending on Income Inequality in 30 OECD Countries.” İstanbul İktisat Dergisi, vol. 71, no. 1, 2021, pp. 39-57. [Database Container], https://doi.org/10.26650/ISTJECON2021-808121

Vancouver

Verberi C, Yaşar S. The Effects of Social Spending on Income Inequality in 30 OECD Countries. İstanbul İktisat Dergisi [Internet]. 20 Sep. 2025 [cited 20 Sep. 2025];71(1):39-57. Available from: https://doi.org/10.26650/ISTJECON2021-808121 doi: 10.26650/ISTJECON2021-808121

ISNAD

Verberi, Can - Yaşar, Sema. “The Effects of Social Spending on Income Inequality in 30 OECD Countries”. İstanbul İktisat Dergisi 71/1 (Sep. 2025): 39-57. https://doi.org/10.26650/ISTJECON2021-808121

Cilt 71, Sayı 12021, S. 39-57

ZAMAN ÇİZELGESİ

Gönderim	06.01.2021
Kabul	09.06.2021
Çevrimiçi Yayınlanma	30.06.2021

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