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Government subsidies and income inequality in Algeria: An analytical and empirical study

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  • Siham MATALLAH

    (University of Oran 2, Algeria)

  • Lahouari BENLAHCENE

    (University of Oran 2, Algeria)

  • Amal MATALLAH

    (University of Tlemcen, Algeria)

Abstract

This paper aims, on the one hand, to test the impact of government subsidies on income inequality, and on the other hand, to investigate the role of corruption control in increasing the effectiveness of government subsidies in the process of reducing the income gap in Algeria over the period 1996-2016. The results confirm the effectiveness of government subsidies in alleviating income inequality in Algeria. The findings also show the significant negative impact of corruption control on income inequality. The combined effect of government subsidies and control of corruption appears to be of paramount importance in reducing income inequality in Algeria.

Suggested Citation

  • Siham MATALLAH & Lahouari BENLAHCENE & Amal MATALLAH, 2022. "Government subsidies and income inequality in Algeria: An analytical and empirical study," Theoretical and Applied Economics, Asociatia Generala a Economistilor din Romania / Editura Economica, vol. 0(4(633), W), pages 147-162, Winter.
    • Handle: RePEc:agr:journl:v:4(633):y:2022:i:4(633):p:147-162
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