Addressing the Asymmetric Causality Between Technological Progress, Economic Globalization, and Income Distribution: The Application of Hatemi-J Approach

Bölüşümle ilgili sorunlara ilişkin mevcut literatür son kırk yılda iki ana faktörün büyük bir öneme sahip olduğuna işaret etmektedir: (i) teknolojik ilerleme ve (ii) ekonomik küreselleşme. Ancak mevcut çalışmaların çoğu gelir dağılımı üzerindeki olumsuz yan etkilerinin aksine, her bir değişkenin ekonomik ilişkilerde tamamen yayılımını ön plana çıkaran argümanı desteklemektedir. Bu noktadan hareketle mevcut çalışma teknolojik ilerleme ve ekonomik büyümeden gelir dağılımına (emek payı ile ölçülen) nedensellik ilişkini 1970-2018 arası dönemde G-7 ekonomileri için emek payı üzerinde pozitif ve negatif şoklar sonucunda ortaya çıkan etkilerin yönünü belirlemek adına Hatemi-J asimetrik nedensellik testini uygulayarak araştırmaktadır. Ampirik bulgular teknolojik ilerlemenin ve ekonomik küreselleşmenin, şokların var olduğu durumda, emek payı üzerinde, ana akım görüşlerin aksine, büyük ölçüde olumsuz etkileri olduğunu göstermektedir.

Anahtar Kelimeler:

Gelir Dağılımı, Emek Payı, Teknolojik İlerleme, Ekonomik Küreselleşme, Hatemi-J Asimetrik Nedensellik Testi

Addressing the Asymmetric Causality Between Technological Progress, Economic Globalization, and Income Distribution: The Application of Hatemi-J Approach

The existing literature on distributional concerns has been substantially pointed out the crucial importance of two major factors in the last four decades: (i) technological progress and (ii) economic globalization. However, instead of their negative side-effects on income distribution, most of the current studies have put forward the arguments that each indicator should be spread in the economic relations. Starting from that point of view, this paper investigates the causal relationship from technological progress and economic growth to income distribution (proxied by labor share of income) by implementing the Hatemi-J asymmetric causality test, which divides positive and negative shocks on the benchmark variables, across the G-7 economies over the 1970-2018 period. The empirical findings show that there are large negative effects of technological progress and economic globalization on labor’s share in the presence of shocks, which also contradicts with the mainstream wisdom.

Keywords:

Income Distribution , Labor Share of Income, Technological Progress, Economic Globalization, Hatemi-J Asymmetric Causality Test,

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