Regional Inequality in Tunisia: Is it a Geographic Misallocation or Spatial Nature Effects?

Posted: 12 Mar 2018

See all articles by Amal Jmaii

Amal Jmaii

university of tunis el manar

Date Written: March 12, 2018

Abstract

Using detailed household-expenditure level data from Tunisia, we examines urban-rural inequality in Tunisia. We use Bayesian regression-based decomposition method to dissect the gap between the two areas. Results of the present study suggest that the difference between rural poor households and urban poor households is due essentially to characteristic effects; while for wealthier households both characteristic and returns to these characteristic effects (for example, efficiency of educational system) are in charge of this gap. Additionally, the results demonstrate that this is an issue of value, and, more specifically, an economic development fairness conflict. It is suggested that policy makers should address a positive discrimination programs in favor of marginalized region.

Keywords: Regional Inequalities, Bayesian Unconditional Quantile Regression, RIF Decomposition, Micro Data, Tunisia

JEL Classification: I31, I24, P25, C14

Suggested Citation

Jmaii, Amal, Regional Inequality in Tunisia: Is it a Geographic Misallocation or Spatial Nature Effects? (March 12, 2018). Available at SSRN: https://ssrn.com/abstract=3138402

Amal Jmaii (Contact Author)

university of tunis el manar ( email )

Campus Universitaire Farhat Hached
Tunis, TN ROMMANA 1068
Tunisia
71872258 (Phone)

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