Impact of entrepreneurship on inequality of income distribution (Between provinces of the country)

Document Type : Original Article

Authors

1 Department of PayameNoor University, Iran (Corresponding Author)

2 Associate professor, Economics, University of Isfahan, Isfahan, Iran

3 Master of Science in Economics, University of Isfahan, Isfahan, Iran

Abstract

Over the recent years, the importance of entrepreneurship has contributed to the advancement of countries' economic growth and development and the elimination of income distribution inequalities. So that entrepreneurs have played a central role in developing economies in developed countries. While this importance has been neglected in developing countries. Therefore, considering the importance of the role of entrepreneurship, this study examines the relationship between entrepreneurship and income inequality in Iranian provinces during the years 1395-1959. The results confirm the reverse U-relationship between these two variables, and the results also showed that most of the countries surveyed are in the downward curve, that is, with increasing levels of entrepreneurship, income distribution inequality is reduced. Other variables affecting inequality of income distribution, urbanization rate and population density have positive and negative effects on inequality, respectively.

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