The Globalization-Governance-Poverty Nexus: Examining Pathways in Developing Countries

Abstract

Globalization involves the removal of barriers to the movement of people, goods, services, and information on a global scale. This study aims to examine the impact of globalization and governance on poverty across 77 developing countries from 2007 to 2020, utilizing the quantile regression method (QRM). The findings indicate that both globalization and governance exert negative effects on poverty. As globalization increases, so does economic growth, leading to a decrease in poverty levels in these nations. Moreover, effective governance enhances economic growth, contributing to poverty alleviation. Economic, social, and political globalization play significant roles in poverty reduction. The study suggests that governments may pursue policies centered on globalization and development to help developing countries achieve poverty alleviation goals.