Income Distribution Characteristics of Rural Economic Sectors: Implications for Local Development Policy
Author(s)
Leatherman, John C.; Marcouiller, David W.
Abstract
A study using a social accounting matrix analysis was conducted to examine the income distribution characteristics of rural economic sectors. Findings demonstrated that high-income households, although accounting for only 22% of total regional households in rural areas, obtained 57% to 63% of earned income related to changes in sectoral factor income. In contrast, medium-income households, which made up 34% of regional households, received 32% to 41% of earned income while low-income households, which comprised 44% of the households in the region, got 2% to 6%. Implications for local development policy are discussed.
