Applying of Fuzzy Nonlinear Regression to Investigate the Effect of Information and Communication Technology (ICT) on Income Distribution

Abstract

The main focus of this paper is to extend fuzzy regression and its application. Therefore, we used nonlinear modeling to investigate the impact of information and communication technology (ICT) on the Gini coefficient. Hence, we calculated the three borders upside, medium, and downside of the Gini coefficient. We found no evidence of reduced income inequality when decreasing the use of ICT goods. However, with the increased use of ICTs, income inequality decreases over time. Also, the results showed that the effect of ICT commodities on the Gini coefficient was the inverted U situation. Understanding this impact is very important from the perspective of planning and building infrastructure for poverty reduction.