Income Inequality and Industrial Sector Employment: Evidence From Türkiye
Chapter from the book: Ata, A. Y. (ed.) 2026. Current Issues in Macroeconomic Policies.

Özge Arpacıoğlu Özdemir
Gaziantep University

Synopsis

Income inequality is a significant issue with both economic and social dimensions in Türkiye as well as all over the world.  The accurate analysis of the relationship between income distribution, the factors affecting it and the direction in which this relationship progresses is essential for the implementation of necessary policies to eliminate inequality. This study aims to investigate the relationship between industrial sector employment and income inequality in Türkiye.  In the study, industrial sector employment and income inequality for the period 2000-2024 have been analyzed by using time series analysis. Engle-Granger co-integration test and Engle-Granger causality test methods have been used in the analysis. In addition, the results provide useful insights, particularly for countries like Türkiye that are still undergoing structural transformation. Income inequality should be considered not only as an outcome of labor market conditions, but also as a factor shaping employment patterns in the industrial sector. So, policies to reduce inequality should not focus only onincreasing employment. Education, skill development, and wage distribution also need to be taken into account. Improving the quality of industrial jobs and supporting a more balanced income distribution may contribute to a more stable and sustainable economic structure.

How to cite this book

Arpacıoğlu Özdemir, Ö. (2026). Income Inequality and Industrial Sector Employment: Evidence From Türkiye. In: Ata, A. Y. (ed.), Current Issues in Macroeconomic Policies. Özgür Publications. DOI: https://doi.org/10.58830/ozgur.pub1347.c5426

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Published

June 30, 2026

DOI