The Effect of technology exports and imports on income inequality: Panel data analysis for developed countries

According to Stolper-Samuelson, who explains the effects of free foreign trade on income inequality, increasing trade with trade liberalization will lead to a convergence trend against income inequality both within and between countries. The criterion used when evaluating income inequality is the Gini index. Therefore, the Stolper-Samuelson Theorem shows that there is a close relationship between income inequality and technology exports and imports, and it is important to address technology transfer in the fight against income inequality. In this study, the relationship between income inequality and technology exports and imports for 20 developed countries was investigated using dynamic linear panel data analysis methods for the period 2002-2018. The analysis results indicate that there is a negative relationship between income inequality and technology exports and imports. In addition, the Dumitrescu-Hurlin panel causality test results show that there is a bidirectional relationship between income inequality and technology exports and a unidirectional relationship from technology imports to income inequality.