Poverty Inequality Research Articles

DEVELOPMENT OF SMALL AND MEDIUM ENTREPRENEURSHIP AND FORMATION OF A MIDDLE CLASS IN GEORGIA

Formation of a strong middle class in Georgia requires a development of small and medium entrepreneurship. As a result of implementation of a rational economic policy and realization of the knowledge and technology based approach in this field, increasing the number of employment, improvement of the national enterprise possibilities, enhancing the competitiveness of the production and growth of the overall level of prosperity of population could be achieved. Small and medium enterprises have been growing during the recent years, however, the growth rate is not sufficient. Share of the population belonging to the middle class is still low in Georgia. According to the studies conducted by the World Bank, in 2014 only 7% of the population of Georgia belonged to the middle class. According to the economic statistical study conducted in Georgia in 2018, share of the population belonging to the middle class in 2016 was 16%. The same study, with exclusion of the employment factor, shows the growth of the above-mentioned share to 24,6%. Ignoring the employment – very important determinant of the middle class – naturally puts the last figure far from reality. Current income inequality and high level of poverty negatively impact formation of the middle class in the country. In order to achieve the growth of the small and medium entrepreneurship, and respectively, growth of the middle class share, the following actions should be taken by the Government of Georgia: Increase of the scale of small and medium entrepreneurship programs, maximally inclusion of the regions; Support of the start-ups, formation of innovative economy; Promotion of the entrepreneurial education, formation of the corresponding environmental system for the export oriented industries; Maintaining political and economic stability.

SOCIO-ECONOMIC FACTORS AFFECTING POVERTY IN BALI PROVINCE, INDONESIA

ABSTRACT The issue of poverty is still a strategic development issue carried out by the Bali Provincial Government. The poverty reduction efforts have been carried out by the regencies/cities of Bali Province with various development programs, but the number of poor people still shows that there is a level of poverty inequality between regencies/cities in Bali Province. This study aims to examine and analyze the influence of social and economic factors on poverty levels in the Bali Province, Indonesia. The social factors in question are population density, unemployment rate, education, and life expectancy. While several economic factors studied included investment, income distribution, and contribution of the agricultural sector. The data in this study are panel data covering socio-economic data and poverty levels in nine regencies/cities in Bali Province during the period 2007-2017. Data analysis was carried out with a quantitative approach using panel data multiple regression methods and equipped with descriptive analysis. The results of the study showed that education, investment, and the contribution of the agricultural sector has a negative effect on poverty levels. Population density, unemployment rate, life expectancy, and income distribution has a positive effect on poverty levels. Suggestions to policy makers, first, the regencies with low investment levels (Bangli, Karangasem, and Jembrana Regencies) to make innovative breakthrough efforts to attract investors to invest according to the potential of each region to support the sustainable development of Bali; and second, the consistency of pro-poor principles of social assistance spending policies. KEY WORDS Poverty level, population density, unemployment rate, education, life expectancy, investment, income distribution, contribution of agricultural sector.

Poverty, Income Inequality and Growth in Bangladesh: Revisited Karl-Marx

This study tries to find the relationship among poverty inequality and growth. It also tries to connect the Karl Marx’s thoughts on functional income distribution and inequality in capitalism. Using the Household Income and Expenditure Survey of 2010 and 2016 this study attempt to figure out the relationship among them. The incidence of poverty in Bangladesh is one of topmost in this globe; about 25% of the population is living under poverty lines and 12.3% of its population is living under the extreme poverty line. The major finding of this study is poverty has reduced significantly from 2000 to 2016, which is more than 100% but in recent time poverty reduction has slowed down. Despite the accelerating economic growth, the income inequality also increasing where the rate of urban inequality exceed the rural income inequality. Slower and unequal household consumption growth makes sloth the rate of poverty reduction. Average annual consumption fell from 1.8% to 1.4% from 2010 to 2016 and poorer households experienced slower consumption growth compared to richer households.

Dynamic trends in household poverty and inequality in Sri Lanka: do gender and ethnicity matter?

The heterogeneity in female-headed households (FHHs) and the differences in household size and composition make the comparison of poverty across male- and FHHs’ complex. The differences in ethno-religion and patriarchal social norms embedded in the various cultures to which these female heads belong also create extra challenges when analysing female headship and poverty. This study, which investigates the poverty and expenditure inequality by gender of the head of the household in Sri Lanka, has a special focus on Sinhala and Tamil ethnic groups. This article makes a significant contribution to the literature on horizontal inequalities in FHHs across communities. Our results indicate that, while FHHs show a higher prevalence of poverty than their male counterparts in both Sinhala and Tamil households, the Tamil FHHs are more vulnerable to poverty.

Poverty upsurge in 2015 and the rising trend in regional and age inequality among the poor in Brazil

Summary The aim of this article is threefold. Firstly, to present income-based poverty and extreme poverty indicators for 2015, when the macroeconomic crisis led to a generalized deterioration affecting all areas and regions. The second aim is to discuss long-term evolution, emphasizing the period since 2004, when sustained improvement of income indicators as well as convergence of regional and area results began. Considering the period from 2004 to 2014/2015, the third aim is to show that the reduction in poverty and extreme poverty was parallel to increased inequality in poverty regarding two critical aspects: the regional aspect, since inequality among the five regions became higher, thus reinforcing the dichotomy between the North/Northeast versus the Centre-South; the age aspect, because the recent improvements since 2004 have not sufficiently benefited children as to reverse their disadvantaged position, so much so that in 2015 children still had a share in poverty that was twice their share in the total population. The last section concerns policy measures that may reduce the impact of the crisis on the poor.

Associations between Obesity, Obesogenic Environments, and Structural Racism Vary by County-Level Racial Composition.

Obesity rates in the U.S. are associated with area-level, food-related characteristics. Studies have previously examined the role of structural racism (policies/practices that advantaged White Americans and deprived other racial/ethnic minority groups), but racial inequalities in socioeconomic status (SES) is a novel indicator. The aim of this study is to determine the associations between racial inequalities in SES with obesity and obesogenic environments. Data from 2007–2014 County Health Rankings and 2012–2016 County Business Patterns were combined to assess the associations between relative SES comparing Blacks to Whites with obesity, and number of grocery stores and fast food restaurants in U.S. counties. Random effects linear and Poisson regressions were used and stratified by county racial composition. Racial inequality in poverty, unemployment, and homeownership were associated with higher obesity rates. Racial inequality in median income, college graduates, and unemployment were associated with fewer grocery stores and more fast food restaurants. Associations varied by county racial composition. The results demonstrate that a novel indicator of structural racism on the county-level is associated with obesity and obesogenic environments. Associations vary by SES measure and county racial composition, suggesting the ability for targeted interventions to improve obesogenic environments and policies to eliminate racial inequalities in SES.

Highland Peasant Weavers: Empowered Women, Heritage Keepers and Home Providers. Incakunaq Ruwaynin Project, Cusco, Peru

In Peru and other Latin American countries, traditional weaving with an ethnic1 identity is undertaken in rural communities as part of development strategies devised by both private-sector and state agencies to improve living conditions for populations at risk. The case we present here concerns privately funded female weavers’ associations that maintain ancestral forms of production, uses, and the symbolic references of traditional clothing but work within the changing context and demands of the Cusco tourist market. Sustainable efficient commercial mechanisms are challenges that must be addressed, but this should be done in close association with programs that aim to strengthen the weavers’ capacities. Otherwise this could frustrate local processes that could contribute to poverty alleviation and inequality. This case study illustrates how, in countries with deep and growing inequalities, various attempts and approaches are required in the process of linking cultural heritage to the contemporary market as an asset, to achieve development while retaining authentic identity.

Racial and Ethnic Inequality in Poverty and Affluence, 1959-2015.

This paper examines patterns and trends in racial inequality in poverty and affluence over the 1959 to 2015 period. Analyzing data from decennial censuses and the American Community Survey, I find that that disparities have generally narrowed over the period. Nevertheless, considerable disparities remain, with whites least likely to be poor and Asians most likely to be affluent on the one hand, and blacks and American Indians much more likely to be poor and less likely to be affluent on the other-and Hispanics somewhat in between. Sociodemographic characteristics, such as education, family structure, and nativity explain some of the disparities-and an increasing proportion over the 1959 to 2015 period, indicative of the growing importance of disparities in human capital, the immigrant incorporation process, and the interaction between economic conditions and cultural shifts in attitudes towards marriage in explaining racial inequality in poverty and affluence. There also are still significant portions of the gaps that remain unexplained, especially for blacks and American Indians. The presence of this unexplained gap indicates that other factors are still at work in producing these disparities, though their effects have declined over time.

Regional Differentials in Multidimensional Poverty in Nepal: Rethinking Dimensions and Method of Computation

This article examines the extent of regional inequality in multidimensional poverty in Nepal using the nationally representative Nepal Demographic Health Survey (2011) data. The authors present a more robust method of multidimensional poverty index (MPI), particularly in terms of the procedure of estimation and aggregation of the indicators as compared with previous studies. The findings suggest that despite the relatively better economic progress and a considerable reduction in education and health poverty, there is a wide inequality across the regions. Far less has been achieved in the case of reducing the standard of living poverty, that is, wealth poverty and inequalities across the regions. The article finds that global MPI tends to inflate poverty estimates in the case of Nepal. It also suggests that development policies and poverty reduction programs in Nepal must aim to reduce multidimensional poverty, of which deprivation in education, health and basic amenities must be an integral component, along with their efforts to improve economic growth and reduce income poverty.

Community versus Institutional Meanings of Child Poverty: Implications for Policy for Reducing Child Poverty

Knowledge on different meanings of child poverty is important for reducing child poverty because it is critical for designing effective policies and programs aimed at addressing issues surrounding children’s well-being. Reducing child poverty is important for overall poverty reduction and inequality because increase and perpetuation of child poverty can result in intergenerational transmission of poverty. However, the relatively young status of the concept of child poverty, make its meaning(s) unclear. Although some efforts have been made by researchers and development agencies towards an understanding of the concept of child poverty, its meaning and indicators are scattered in the literature and remain unclear. Due to children’s dependence on adults for their wellbeing, policy frameworks aimed at reducing child poverty need to take into account both community and institutional meanings of child poverty because adults’ understanding of child poverty at the community level have consequences for how they treat and deal with issues relating to children well-being/ill-being. This paper re/presents some meanings of child poverty at the institutional and community levels using secondary materials drawn from both developing and developed country context and primary materials from four rural communities in Northern Ghana. The policy implications and policy options for reducing child poverty base on meanings of child poverty are indicated. Keywords: Child poverty, meanings of child poverty, reducing child poverty DOI : 10.7176/RHSS/9-2-16

Labor migration and impact of remittances on poverty and income inequality: evidence from estate sector of Sri Lanka

There is a continuing debate over the impacts of migration on the developing nations despite the ever-increasing size of internal and international remittances. Moreover, a little attention has been paid to analyze the impact of these financial transfers on poverty and inequality of those countries. This study, using a nationally representative sample, assessed the impacts of migration and remittances on poverty and inequality of estate sector households of Sri Lanka. A multinomial logit-ordinary least squares two-stage selection control model and a simulation analysis were used to estimate the impact of migration and remittances on poverty and inequality. Results reveal that internal and international remittances reduce poverty incidence by 2.14% and 2.32%, depth of poverty by 1.33% and 0.98%, and severity of poverty by 0.63% and 0.48%, respectively. Results further suggest that income inequality slightly decreased due to internal and international remittances. Moreover, the findings support a growing view in the literature that migration is a livelihood strategy and it helps in alleviating poverty.

Reframing the global poverty and inequality narrative in development education through the lens of intersectionality

The effort to promote interdisciplinary research in development and global education risks the erosion of its core values by more theoretically established fields of development. This becomes urgent when little research attention is given to strengthening the theoretical foundation of core concepts and themes, such as global poverty and inequality, that are grounded in knowledge from field experience. This article responds to the influence of neoclassical literature about poverty and spatial inequality that propagates a discourse shift from poor countries to poor people. Intersectionality is explored as a paradigm that can reconcile this new thinking with the social justice pedagogy of development education and that enables an understanding of the asymmetries in current patterns of poverty and spatial inequality.

Formal Structure and Efficiency of Self-Help Groups: An Economic Analysis

Self-help groups are generally seen as instruments for goals including empowering women, poverty alleviation, developing leadership qualities among poor and needy people. SHGs bridge the gap between haves and have-nots. These groups have become basic sources of village capital. Self-help group’s (SHGs) have had a record of success, but they are gradually losing their significance as an instrument of micro-finance and financial inclusion. The persistence of poverty and gender inequality on the scale at which they still exist are not acceptable. This reflects that SHGs face the issues of declining efficiency and quality, although their quantity is alright. Further, the natures of formal structure within which SHGs operate and function have a fundamental effect on their functioning and efficiency and on the efficiency of micro-finance and inclusion programmes. If the problems of these groups are addressed efficiently and are provided with sufficient institutional and financial support, the efficiency of these groups will improve and “efficient and viable self-help groups could do wonders”. Due to enhancement in efficiency and sustainability, self-help could improve the social capital base not only of members but also of non-members. It is in this background that this paper attempts to identify the particular parameters/elements that must be present uniquely in the formal structure of all SHGs so that all SGHs may follow a unique logical architecture in their functioning. This study also attempts to analyze the relationship between the formal structure of SHGs and their total savings, their lending capacity, total amount left after disbursements and number of beneficiaries. Finally, this study also attempts to analyze the impact of their formal structure, bank loans received the ability to repay received bank loans, regularity/irregularity towards savings on their frequency of using the bank. From the obtained data and statistical analysis, the study found that the majority of SHGs function independently of their organizational structures. This mars their overall efficiency because the formal structure has its significance in achieving group goals and thereby, increases the level of work quality. Working of SHGS according to a well-established structure positively and significantly impacts their savings, borrowing capacity, lending capacity and a number of beneficiaries. Referred to the data, we can conclude that those SHGs use their operational bank accounts frequently that have a well-established logical structure, received and repaid banks loan since their inception, maintained regularity in group savings and participated in income generation activities than those which lack a formal structure, were unable either to receive or repay bank loans, faced irregularities towards group savings and not participated in income generation activities. So SHGs should pay specific attention towards the formulation of logical structures to work on, maintain regularity in their savings and should participate in income generation activities. Further, banks should provide sufficient loans to these voluntary saving groups and should increase the loan repayment period for them so that these group may become able to maintain their sustainability in the long-run.

Illustrating income mobility: new measures

Over two decades ago, Jenkins and Lambert demonstrated that alternative measures of poverty could be combined using the ‘Three Is of Poverty’ (TIP) curve; the ‘three Is’ being the incidence, intensity and inequality of poverty. This paper first takes these TIP curve insights and applies them to income growth based measures of mobility, proposing a new ‘Three Is of Mobility’ (TIM) curve. Secondly, the paper proposes new illustrative devices for income mobility measured as positional change, or re-ranking, within the income distribution: labelled ‘re-ranking curves’. Illustrations use data from random samples of New Zealand income taxpayers between 1998 and 2010. These mobility curves represent simple graphical devices that conveniently illustrate the ‘three Is’ properties of income mobility.

Declining Poverty and Inequality in Turkey: The Effect of Social Assistance and Home Ownership

ABSTRACTSocial assistance has become prominent in combating poverty in developing countries, and has also contributed to the popularity and election success of governments implementing it. In this paper, I employ household surveys and investigate the effect of social assistance on poverty and income inequality in Turkey. I also review the recent literature on poverty, as well as different components of social protection spending: education, health, pensions and housing. In the empirical analysis, I show that pensions still constitute the bulk of public transfers to households. Moreover, home ownership ameliorates poverty and inequality for Turkey. Despite its modest amounts, social assistance reduces poverty and its marginal effect on income inequality is larger than other income sources. These findings suggest that increases in social assistance budgets should accompany other policy measures in combating poverty and inequality.

Use of sexual health services at hospitals by cleaning workers in Bogotá D.C. 2016

Introduction: Poverty and social inequalities together with sexually transmitted diseases have a negative impact on women’s health, which is considered to be a public health problem.Objective: To analyze barriers to accessing sexual and reproductive health services in cleaning workers.Materials and methods: A survey was administered to a sample of 37 female cleaning workers at a hospital in Bogotá D.C. A bivariate analysis was performed with chi-square test, as well as a multivariate analysis with binomial logistic regression.Results: Need factors showed greater association with non-use of sexual health services. All married women had accessed the service over the past 12 months, but there were 5.9 less possibilities of using sexual and reproductive health services when there was no awareness about risk behaviors of sexually transmitted diseases.Conclusion: The determining factor for the utilization of sexual health services is the health care need factor. Variables such as perception of risk behaviors and appropriateness of health care significantly influence the use of the service.

Zakat for Economic Empowerment (Analyzing the Models, Strategy and Implications of Zakat Productive Program in Baitul Mal Aceh and Baznas Indonesia)

Sustainable wellbeing is one of the goals of zakat distribution whereby the poor (<em>mustahiq</em>) are not only able to survive by having the basic needs fulfilled, but also are able to work and fulfill his needs and his family independently. The <em>mustahiq </em>independency is important to solve the problem of inequalities in society, marginalization, unemployemnt and poverty. This can only be achieved if zakat is able to used as a means for economic empowerment of the poor that would increase their capacity and enable them to become enterpreneur and hence able to fulfil their needs by themselves. This article attempts to observe various zakat productive programs initiated by zakat institutions in Indonesia and also analyze their implications in empowering the poors and increase their level of wellbeing. The case study in this paper is Baitul Mal Aceh and Baznas Indonesia.

Why the pretense of pursuing democracy? The necessity and rationality of democratic slogans for civil revolutions

While democratic revolutions are not uniform in their pursuit of democracy, they do have something in common: those calling for revolution and participating in demonstrations do so under the banner of democracy. However, studies have revealed that these citizens were not at first committed to democracy per se; rather, they took the opportunity to vent their frustration against the current regime because of their struggle against poverty and social inequality. Why, then, do citizens who are not pursuing democracy per se participate in revolutions under the banner of democracy? Previous studies have failed to clarify this point. To fill this gap, we outline three strategic rationalities and necessities behind the use of “democracy” as a common slogan to justify civil revolutions: 1) organizing large scale dissident movements in a country; 2) attracting international support; and 3) imitating successful examples from the past. Evidence from the 2003 Rose Revolution in Georgia and the 2005 Orange Revolution in Ukraine supports this theory.

Developing Models of Productive Waqf Masjid Agung Syuhada Yogyakarta

<p><em>The problems of poverty and social inequality in a country with a majority Muslim population is of concern, one of which is Indonesia. One of the religious institution in Islam which are of direct relevance functionally with efforts to solve social problems and humanity is waqf. The emergence of the paradigm of productive waqf, is a momentum as an attempt to transform from its traditional management of waqf professional management. Masjid Agung Syuhada Yogyakarta can be considered successful in the management of this productive waqf for their productive economic programs. In this paper will discuss how to model the development of productive waqf in Masjid Agung Syuhada Yogyakarta. By using methods of field research and qualitative approach to the data will be obtained and analyzed through qualitative descriptive analysis techniques. Data were obtained through in-depth observation, interviews and documentation. The results showed productive waqf that have been applied by Masjid Agung Syuhada Yogyakarta made many contributions both internally and externally through the productive economy that is sustainable. Waqf funds collected are managed properly and professionally so that the distribution can also be dialogue, it means that the waqf funds channeled productively with their development in several business areas in Masjid Agung Syuhada Yogyakarta.</em></p><p><em> </em></p>

Perspectivas Locales ~ NAFTA in Southern Mexico: An Economic Godsend or Curse?

The North American Free Trade Agreement (NAFTA) was adopted with the hope that the accord would bring economic growth to Mexico, reducing poverty and social inequality. It is now 24 years later, and these development goals have not been achieved. Using primary source interview material from indigenous people of southern Oaxaca, along with a review of the literature and quantitative data, this article contends that NAFTA has contributed to an increase in rural poverty, regional disparities, and the emigration of campesinos from their native communities. With NAFTA 2.0 negotiations underway, this paper advocates that the voices of indigenous people should be heard at the negotiating table. Their insight on how the trade deal has impacted southern localities is of critical importance moving forward.