This analysis reveals a U-shaped relationship between economic growth and income inequality in Vietnam, suggesting economic policies may need adjustment.
Key Points
Human capital reduces income inequality across provinces in Vietnam, fostering social transformation and growth.
Income inequality exhibits a U-shaped relationship with economic growth, indicating its complex dynamics.
Spatial regression, threshold regression, and instrumental variable regression were utilized to analyze the data from 2016 to 2020.
Enhancing human capital and promoting urbanization can reduce income inequality, supporting more balanced economic development.