Analyzing Income Structure Changes: Average Income, Income Gap, and Human Capital Flow

This change in the income structure can be analyzed from two perspectives: the average level of income (Income_ave) and the income gap (Income_gap). The former can be quantified by computing the average annual wage of urban workers, while the latter can be assessed by comparing the proportion of employees in computer services and software-related industries to those in traditional manufacturing industries, as per Akdur (2021). The flow of human capital factors (Flow) can be evaluated by calculating the ratio of human capital in the region to the total human capital in that year. Regional human capital can be estimated as the product of the total labor force and the average possession of human capital.