Income Inequality and Economic Growth

Himawan Sutanto; Iwan  Harsono; Lalu M.  Furkan; Baiq Saripta Wiji  Mulawiani; Helmy  Fuady; Titi  Yuniarti

doi:10.62207/6ec47y90

Authors

Himawan Sutanto Universitas Mataram Indonesia Author
Iwan Harsono Universitas Mataram Indonesia Author
Lalu M. Furkan Universitas Mataram Indonesia Author
Baiq Saripta Wiji Mulawiani Universitas Mataram Indonesia Author
Helmy Fuady Universitas Mataram Indonesia Author
Titi Yuniarti Universitas Mataram Indonesia Author

DOI:

https://doi.org/10.62207/6ec47y90

Keywords:

Income inequality, Income distribution, Poverty rates, Economic growth, Gini Coefficient, Relative poverty

Abstract

This research investigates the relationship between income inequality, income distribution, poverty rates, and economic growth. The analysis results indicate that the independent variables, including the Gini Coefficient, Percentage of Income Received by Specific Groups, and Relative Poverty Rate, significantly influence economic growth. High levels of income inequality, uneven income distribution among societal groups, and high poverty rates all contribute to the slowdown of economic growth. Therefore, policies aimed at reducing income inequality, improving equitable income distribution, and decreasing relative poverty rates can help stimulate more inclusive and sustainable economic growth.

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