The Impact of Economic Security on Income Inequality in Iran

Document Type : Original Article

Authors

1 M.A., Department of Economics, Faculty of Humanities and Social Sciences, University of Kurdistan, Sanandaj, Iran.

2 Assistant Professor, Department of Economics, Faculty of Humanities and Social Sciences, University of Kurdistan, Sanandaj, Iran

3 Ph.D. Candidate, Department of Economic Development and Planning, Faculty of Management and Economics, Tarbiat Modares University, Tehran, Iran.

Abstract

Income inequality remains a critical issue in economics and social development, since, the unequal distribution of wealth and opportunities often leads to deeper class divides and increased social tensions. Furthermore, income inequality can reduce the quality of life for low-income individuals, leading to a decline in social activities and slowing economic growth. Conversely, economic security is a key factor influencing both quality of life and economic development. The objective of the present study is to examine the impact of economic security on income inequality in Iran over the period 1989 to 2021, using a multiple regression model.
The results indicate that economic security, healthcare expenditure, government size, and foreign direct investment exert a statistically significant negative effect on income inequality, suggesting that improvements in these areas are associated with reduced income disparities. In contrast, inflation, unemployment, and urbanization exhibit a significant positive relationship with income inequality, implying that increases in these variables exacerbate income inequality. The findings of this study can provide insights for policymakers by identifying the drivers of income inequality, in turn, assisting policymakers in adopting appropriate strategies for reducing income inequality and promoting social justice.

Keywords

References

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اقتصاد دفاع و توسعه پایدار
Volume 10, Issue 37
September 2025
Pages 33-67

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