Income Inequality and the Intersectionality of Gender and Ethnicity in Iran

This study investigates the impact of the intersection of gender and ethnicity on income inequality in Iran. We use data from two sources: the National Survey of the Consumption of Cultural Goods (2019) collected by the Research Center for Culture, Art and Communication, and the Household Expenditure and Income Surveys (HEIS) collected by the Statistical Center of Iran between 2016 and 2020. Our findings, based on Ordinary Least Squares and Quantile Regressions, reveal a persistent gender income gap across all income percentiles and ethnicities, with women consistently earning less than men. Furthermore, the interaction term between gender (being female) and ethnicity (being non-Fars) is significant and negative for both low and high-income groups. This suggests that being non-Fars exacerbates the gender income gap for women (non-Fars women face a significantly wider gender income gap when compared to Fars women). Additionally, regardless of ethnicity, the gender income gap is the largest for women in the lowest income percentiles and smallest in the middle percentiles. Our results highlight the importance of considering the concept of Intersectionality when formulating policies. Policies aimed solely at reducing the gender income gap might be ineffective unless they acknowledge the diversity of ethnicities within a society.