@article{ref1,
title="Defence spending and income inequality in Taiwan",
journal="Defence and peace economics",
year="2014",
author="Wolde-Rufael, Yemane",
volume="27",
number="6",
pages="871-884",
abstract="The rising trend in income inequality has recently attracted a renewed interest in the determinants of this growing trend across many countries. This article adds to the debate by investigating the impact of defence expenditure as a possible determinant of inequality in Taiwan, a country once was considered to be a poster child of an equitable growth, but now income inequality has become one of the Taiwan's growing challenges. Applying the bounds test approach to cointegration and four long-run estimators for the period from 1976-2011, we found a long-run relationship between the various measures of inequality and defence expenditure where defence expenditure exerts a positive and a statistically significant impact on the worse income inequality in Taiwan. Further application of the lag-augmented causality test procedure also reveals a unidirectional causality running from defence expenditure to income inequality with defence expenditure causing income inequality to rise.<p /> <p>Language: en</p>",
language="en",
issn="1024-2694",
doi="10.1080/10242694.2014.886436",
url="http://dx.doi.org/10.1080/10242694.2014.886436"
}