Investigating the Impact of Political Stability and Frontier Technology Readiness on Income Inequality

Document Type : Original Article

Authors

1 Assistant Professor. Department of Economics. Faculty of Literature and Humanities. University of Ilam. Ilam. Iran

2 Asistant Professor, Department of Economics, Faculty of Literature and Humanities, University of ilam, ilam, Iran

10.22075/jem.2026.39239.2045

Abstract

Income inequality is one of the fundamental challenges in Middle East and North Africa (MENA) countries, with wide-ranging economic, social, and political implications. Using data from 2008 to 2021 and applying the Dynamic Ordinary Least Squares (DOLS) method across six separate models, this study investigates the impact of political stability and components of frontier technology adoption on income inequality in 17 MENA countries. The results indicate that political stability has a negative and significant effect on income inequality, whereas the adoption of frontier technologies—particularly information and communication technologies and workforce skills—exacerbates inequality. In contrast, research and development activities, industrial development, and financial access reduce income inequality. Moreover, natural resource rents, government expenditures, foreign direct investment, and unemployment each have a positive and significant effect on widening inequality. These findings suggest that policies aimed at strengthening political stability and ensuring the optimal management of frontier technology adoption and natural resources can contribute to reducing income inequality and promoting economic justice in the MENA region.

Keywords