Decomposing income inequality in the Arab region

Abstract EN

The main objective of this paper is to perform a decomposition analysis of the level of inequality between socioeconomic groups and geopolitical regions of each country to better our understanding of the contribution of each socioeconomic group to overall inequality.

This paper will fill in an important gap of knowledge of inequality patterns in the Arab region, by drawing a rough picture of monetary inequality.

Our results show that differences in mean income across groups are much larger in Tunisia, Morocco and mainly Yemen and accounts for a much larger proportion of overall inequality.