Bootstrap Causality Analysis for BRICST Countries: Globalization, Income Inequality, Gender Inequality, and Economic Complexity

Globalization serves as a driving force for developing countries to integrate into advanced economies while simultaneously posing a significant challenge by exacerbating income inequality. However, globalization is also known to positively influence economic complexity levels, which in turn contributes to reducing gender inequality a critical factor in mitigating income inequality indirectly. Within this framework, the present study explores the intricate relationships between income inequality, globalization, gender inequality, and economic complexity, focusing on BRICST (Brazil, Russia, India, China, South Africa, and Türkiye) countries. In this study, the Kónya Bootstrap Panel Causality analysis was employed as the analytical method for the period 2010-2023. The findings indicate that globalization has the most significant impact on income inequality in Brazil, China, South Africa, and Türkiye, while gender inequality is most pronounced in Brazil and South Africa, and economic complexity is most influential in Brazil, China, and Türkiye. On the other hand, no Granger causality relationship was found between globalization, gender inequality, and income inequality in India and Russia. Additionally, it was determined that gender inequality does not have a significant effect on income inequality in Türkiye and China, while economic complexity does not exhibit a meaningful impact on income inequality in Russia and South Africa. The study's findings reveal that the causal relationship between globalization, gender inequality, economic complexity indicators, and income inequality has different dimensions. Therefore, according to the study results, policies to reduce income inequality should be formulated in line with national needs, considering economic, cultural, and sociological differences. Keywords: Income Inequality, Globalisation, Gender Inequality, Economic Complexity.