Welfare and Wealth in Iran: Rural and Urban Dichotomies

Objective : Increasing social welfare and reducing poverty are to ensure the well-being of all classes of a society. Cities and villages are distinguished by cultural and economic disparities. The purpose of this study was to develop and present a comprehensive model on welfare and wealth components and their relationship with each other , as well as determining the contributing factors and variables affecting them by presenting a comprehensive model. Results : The Structural Equation Modeling ( SEM ) method was used to analyze the data and investigate the causal relationship of latent variables. Observed variables and latent variables of the model were analyzed and tested by using AMOS and SPSS (version 21) statistical methods, in two exploratory and confirmatory steps. Wealth and welfare were identified as two separate subjects in the conceptual model and in the final structural model for rural households. Unlike, in the urban community, they were recognized as a single category in the final structural model. The results of this study can provide the clear hints for effective policy making to break the cycle of deprivation and poverty in Iranian rural and urban population.