The Dynamic Analysis of Inequality of Opportunities in Pakistan

Abstract

Gauging inequality of opportunity is of paramount importance for well-grounded sustainable development policy. This study develops a methodological framework to measure the attainment of Millennium Development Goals (MDGs) by employing topdown and bottom-up approaches of quantifying the inequality of opportunity (IOP). Moreover, the theoretical complementarity between the two approaches is also empirically established. This study conducts the dynamic analysis of IOP by using the Pakistan Social and Living Standard Measurement dataset for the year 2001-02 to 2014-15at all tiers of government of Pakistan. Results reveal the sluggish and rutted performance on almost all the indicators of MDGs overtime and across regions. The achievement of MDGs is still a distant dream. Consequently, the adherence to The Vision 2025 seems highly implausible. The decomposition of income inequality of effort and IOP shows an overwhelming effect of circumstances which translates into the predetermined nature of each individual in Pakistan. The study suggests the reduction of education inequality and effective long-run public intervention through the provision of infrastructure as a driving force to reduce inequality of outcome as well as the opportunity.