The Kuznets Curve, Information and Communication Technology, and Income Inequality in Malaysia

Citation

Yau, Gabriel Jia Jun and Tan, Siow Hooi (2022) The Kuznets Curve, Information and Communication Technology, and Income Inequality in Malaysia. International Journal of Economics and Management, 16 (2). pp. 163-177. ISSN 1823-836X

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Abstract

This study re-investigates the presence of the Kuznets curve in the context of Malaysia, by employing an autoregressive distributed lag (ARDL) approach. We seek to examine the non-linear impacts of economic growth on income inequality by investigating the existence of a second turning point to the relationship. Furthermore, we also assess the impacts of information and communication technology (ICT) (through internet, mobile, and broadband usage) on income inequality, besides the determinants of income inequality which have been extensively studied within the framework. This endeavour leveraged a time series analysis whereby the data was employed from the time period of 1970–2018. Our estimation results support the S-curve hypothesis that relates economic growth to inequality starting from the back portion of the inverted U-shaped curve. Our results confirm that ICT can actually be part of an active economic policy aiming to reduce existing income inequalities.

Item Type: Article
Uncontrolled Keywords: Broadband usage, Income inequality, Kuznets curve, Mobile usage, Information and communication technology
Subjects: H Social Sciences > HD Industries. Land use. Labor > HD28-70 Management. Industrial Management > HD30.2 Electronic data processing. Information technology. Including artificial intelligence and knowledge management
Divisions: Faculty of Management (FOM)
Depositing User: Ms Nurul Iqtiani Ahmad
Date Deposited: 02 Nov 2022 01:55
Last Modified: 02 Nov 2022 01:55
URII: http://shdl.mmu.edu.my/id/eprint/10617

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