Socio-economic Inequalities

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Imbalances of income distribution across states of Malaysia

While Kelantan, Terengganu, Perlis and Kedah show the least uniform income distribution in 2004, vast increases were observed in Terengganu where the ratio of national and state income disparity had risen from 0.61 in 2004 to 0.75 in 2009 (Table 1). This is reflected in poverty incidence and household income in Terengganu, which registered a plunge to just four per cent in 2009 from 15.4% in 2004 and a growth rate of 8.7% from 2004-2009, respectively (Table 2). Excellent improvement was also found in Malacca where the ratio of the state’s income was almost equivalent to that of the national income level (i.e. 1:1.04 in 2009 from 1:0.86 in 2004).


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