A study of Bangladesh income inequality and regional development policy

Abstract

Bangladesh's incredible accomplishments in both its economy and society have propelled the country to heights previously unimaginable. Using newly harmonized satellite income data from 2001 to 2020, we examine economic convergence across 63 districts in Bangladesh. Income growth, as a proxy for regional economic activity, demonstrates overwhelming evidence of absolute convergence. Estimating methods founded on the basic neoclassical model of economic convergence and built to account for the effects of catastrophic events reveal virtually no evidence of progress. Based on panel data collected between 2001 and 2020, this study examines the evolution, shifting trend, and level of income inequality in the various regions (provinces) of Bangladesh. The second section of this essay examines the development of Bangladesh's regional development policies since the country's creation. This essay's third section examines the issues and solutions brought about by recent research and em-pirical research on the effects of income inequality that occurs between the eight major areas of Bang-ladesh. The fourth section of this essay recommended some regional policies based on the previous analysis. In order to stop the income inequality between the various regions of Bangladesh from in-creasing, this article suggesting certain countermeasures. Lastly, the conclusions drawn in the preceding sections, the fifth section of this essay attempts to explain the overall change that occurs in relation to regional income inequality. The Bangladeshi government's regional policy has had an enormous effect on this transformation.