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Cross-Sectional Facts for Macroeconomists: Wage, Income and Consumption Inequality in Turkey

  • Mehmet Nazım Tamkoç
  • Orhan TorulEmail author
Article

Abstract

We investigate the evolution of Turkey’s wage, income and consumption inequalities using a cross-country comparable methodology and the Turkish Statistical Institute’s Household Budget Survey and the Survey of Income and Living Conditions micro data sets. Turkey’s wage, income and consumption inequalities all exhibit downward time trends over the 2002-2016 period. This observation aligns well with the rapid minimum wage growth over the period. While wage inequality estimates display strong countercyclicality, income and consumption inequalities exhibit rather acyclical time-series movements. While recent education premium estimates of Turkey are similar to those in the early 2000s, estimates of recent gender and experience premiums, as well as residual wage inequality are lower. Income and consumption inequality estimates exhibit similar time trends with moderate level differences, and these trends are robust to the choice of inequality metrics.

Keywords

Income distribution Wage inequality Gender gap Education premium Experience premium 

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© Springer Science+Business Media, LLC, part of Springer Nature 2020

Authors and Affiliations

  1. 1.Department of EconomicsArizona State UniversityTempeUSA
  2. 2.Department of EconomicsBoǧaziçi UniversityBebekTurkey

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