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Zakat and Inequality: Some Evidence from Pakistan

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  • Jehle, Geoffrey A

Abstract

Zakat is an important form of religiously mandated charity under Islam. This paper examines its impact on income inequality in Pakistan. Data from 1987-88 are used to construct two income distributions--one that would have obtained if zakat had not been given and one that did obtain when such giving took place. Atkinson-Kolm-Sen relative indices of income inequality are computed which slow that zakat does reduce measured income inequality in Pakistan. Both intraprovince and interprovince components of over-all inequality decline, though the amount of change is small. Copyright 1994 by The International Association for Research in Income and Wealth.

Suggested Citation

  • Jehle, Geoffrey A, 1994. "Zakat and Inequality: Some Evidence from Pakistan," Review of Income and Wealth, International Association for Research in Income and Wealth, vol. 40(2), pages 205-216, June.
    • Handle: RePEc:bla:revinw:v:40:y:1994:i:2:p:205-16
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    Cited by:

    1. Johnston, David W. & Menon, Nidhiya, 2022. "Income and views on minimum living standards," Journal of Economic Behavior & Organization, Elsevier, vol. 199(C), pages 18-34.
    2. Fatima Lambarraa & Gerhard Riener, 2012. "On the Norms of Charitable Giving in Islam: A Field Experiment," Courant Research Centre: Poverty, Equity and Growth - Discussion Papers 111, Courant Research Centre PEG.
    3. Amjad Naveed & Cong Wang, 2018. "Can religion explain cross-country differences in inequality? A global perspective," Social Choice and Welfare, Springer;The Society for Social Choice and Welfare, vol. 50(3), pages 481-518, March.
    4. Lambarraa, Fatima & Riener, Gerhard, 2015. "On the norms of charitable giving in Islam: Two field experiments in Morocco," Journal of Economic Behavior & Organization, Elsevier, vol. 118(C), pages 69-84.
    5. Mejda Bouanani & Besma Belhadj, 2019. "Zakat and Poverty Alleviation in Tunisia Using the Fuzzy Approach," Journal of Quantitative Economics, Springer;The Indian Econometric Society (TIES), vol. 17(2), pages 421-432, June.
    6. Mejda Bouanani & Besma Belhadj, 2020. "Does Zakat reduce poverty? Evidence from Tunisia using the Fuzzy Approach," Metroeconomica, Wiley Blackwell, vol. 71(4), pages 835-850, November.
    7. Rasool, Mohamed & Harun, Mohd & Salleh, Ariffin & Idris, Nor, 2011. "Poverty Measurement in Malaysian Zakat Institutions: A Theoretical Survey," Jurnal Ekonomi Malaysia, Faculty of Economics and Business, Universiti Kebangsaan Malaysia, vol. 45, pages 123-129.
    8. repec:dau:papers:123456789/15015 is not listed on IDEAS
    9. repec:idn:jimfjn:v:1:y:2016:i:2a:p:1-20 is not listed on IDEAS

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