Rate Of Poverty Reduction Research Articles

Poverty and inequality in Odisha, India

Odisha has gone on from being the most underdeveloped Indian state to be the state that has recorded the highest decline in poverty among the states. We undertake decomposition analyses to assess the redistributive changes in poverty and inequality over the period 1993–1994 and 2011–2012 across regions and social groups, examining the NSSO Consumer Expenditure Survey data. We find that while Odisha has succeeded in substantially reducing both rural and urban poverty incidence, this change has not met desirable subgroup‐specific variations. Among regions, southern and northern Odisha have not kept pace with coastal Odisha in poverty reduction during the study period. The rate of poverty reduction for the Scheduled Tribes and the Scheduled Castes has been dismal. Overall, we found the growth effects on poverty reduction to be more prominent over inequality effects and population shift effects on poverty, although these effects varied in contexts. While inequality in urban regions rose, it declined in rural regions. While at the state‐level, the within‐group inequality has declined between 2004–2005 and 2011–2012 (coincident with the present Naveen Patnaik rule); the between‐group inequality has increased during the period. Rural Odisha has seen a reduction in both within‐group and between‐group disparities, whereas urban Odisha has fared the opposite.

Apakah Pendapatan Perempuan Dapat Mengurangi Kemiskinan? Bukti Data Panel di Indonesia

This research aims to analyze the effect of women's income on poverty reduction. Using a panel dataset of 32 provinces in Indonesia with time series data for the period of 2010-2018, the analysis model used is the fixed-effect method of the panel regression and the Panel Granger causality test. The study points out that women's income has a significant effect on poverty reduction. The greater women's income, the lower the poverty rates. Panel Granger causality test indicates that there is a bidirectional between women's income and poverty rate. The poverty causes women's income, and women's income also causes poverty rates. Therefore, local governments in Indonesia should formulate regional development policies that oriented towards increasing women's involvement in productive economic activities. The policy is not only able to improve the welfare of women, but also contribute positively to reducing poverty rates

Has the fiscal decentralization of social welfare programs helped effectively reduce poverty across U.S. states?

ABSTRACTThis paper looks at whether fiscal decentralization of welfare programs made state governments effective at alleviating poverty. We make use of the National Association of State Budget Officers’ (NASBO) State Expenditure Report which publishes expenditure data in different areas by state and federal government. Using this data, we constructed expenditure ratios to demonstrate the moment when state governments took on more responsibility in funding compared to the federal government. Although we hypothesized fiscal decentralization to worsen poverty growth, we found the fiscal decentralization of Medicaid to reduce poverty rate growth. We believe this negative finding to be the result of the types of additional goods that are being offered to Medicaid beneficiaries beyond what is federally required.

THE CAUSES, PREVALENCE AND THE RAVAGING COROLLARIES OF ILLEGAL CROSS BORDER TRADES (ICBTs) ON NIGERIA’S ECONOMY

This study elucidate the causes, prevalence and ravaging corollaries of Illegal Cross Border Trades ( ICBTs ) on the Nigerian economy with a view to proffering workable solutions. The study is anchored on the broken window theory. A sample size of 75 respondents was arrived at using Taro Yamane’s formula and to ensure greater representation of the sample relative to the population, proportionate stratified random sampling technique was used for the selection of respondents. Quantitative data were obtained from the 75 selected respondents who were Nigeria Customs Service staff and who resides in Illela and Sabon-Birni border areas. These areas are in Sokoto State of Nigeria but share boundary with Niger Republic. Data collected were analyzed in line with study objectives and research hypotheses, using descriptive and inferential statistics at 0.05 level of significance. Findings revealed that though policies and programmes tailored along the line of curbing and ameliorating smuggling are made yearly, the rate of ICBTs continue to increase. Reasons for this include preference for foreign goods, craze for cheaper prices of goods, connivance between smugglers and some security personnel, paucity of border security. It was also found that the rate of ICBTs in the studied areas and by projection the nation is on the high side, thus contributing enormously to the receding economy. The study recommended among other things that a threesome relationship between Nigeria Customs Service, traditional elites and local settlers should be developed or built into government policies for curbing ICBTs; there should be a continuous orientation and re-orientation of the people by government agencies and other stakeholders; government increase employment opportunities and reduction in poverty rate; and government should be apt in carrying out statutory responsibilities.Keywords: Border, Illegal Cross Border Trade, Security personnel, Smugglers, Threesome relationship.

The Effects of Monetary Policy on Poverty Alleviation in Pakistan

This research analyzes the effect of monetary policy of central bank on the poverty alleviation. Monetary policy is the policy adopted by the monetary authority of a country that controls either the interest rate payable on very short-term borrowing or the money supply, targeting inflation or the interest rate to ensure price stability and general trust in the currency. This study is taking two variables in monetary policy namely interest rate and money supply. Effects of both variables examined on poverty rate in context of Pakistan. Moreover, association and effect examined between both variables (interest rate and money supply). This study comprises on quantitative research methodology as secondary data taken from world indicator from 2001 to 2017. Regression analysis applied on collected data. According to findings, if central bank increases in supply of money in economy, it cannot reduce poverty rate in Pakistan. It is because more money supply will bring inflation, which discourages investment of all types. If high interest rate set by central bank then it cannot bring significant reduction in poverty rate of Pakistan as it will reduces the investment and overall employment. If central bank set increased interest rate then it deceases the money supply in the economy of Pakistan, as funds will be, divert to banks for earning interest on deposits. Recommendations and conclusion are given at the end of this paper.

ANALISIS SPASIAL KEMISKINAN DENGAN PENDEKATAN GEOGRAPHICALLY WEIGHTED REGRESSION: STUDI KASUS KABUPATEN PANDEGLANG DAN LEBAK

Poverty is the main problem both at the national and regional development. Existing poverty alleviation programs have not paid attention to the spatial aspect. Thus the policies are often poorly targeted. This study aims to find spatial patterns of poverty in Pandeglang and Lebak districts. Geographically weighted regression (GWR) is used to analyze the poverty data in 2016. Based on the analysis, positive spatial autocorrelation is found and clustered in 25 sub-districts. Net enrollment rates tend to reduce poverty in all sub-districts. Meanwhile, village funds, electricity, and roads tend to reduce poverty rates in more than 80% of sub-districts. Independent variables have a different response in each sub-district. Therefore, the poverty alleviation program of each sub-district is adjusting to its influencing factor.

Finance, law and poverty: Evidence from India

Using state-level data from India over the period 1983–2005, this paper shows a strong negative relationship between financial depth (as measured by credit volume) and rural poverty. Instrumental variable regressions suggest that this relationship is robust to endogeneity biases. Furthermore, financial deepening has a bigger impact on rural poverty alleviation than outreach (as measured by branch penetration). We find suggestive evidence that financial deepening reduced poverty rates especially among self-employed in the rural areas and also supported an inter-state migration trend from rural areas into the tertiary sector in urban areas, consistent with financial deepening being driven by credit to the tertiary sector. Our findings suggest that financial deepening contributed to poverty alleviation in rural areas by fostering entrepreneurship and inducing geographic-sectoral migration.

Public Spending and Poverty Reduction in Indonesia: The Effects of Economic Growth and Public Spending on Poverty Reduction in Indonesia 2009-2018

Poverty is a complex and multidimensional issue. Over the past four decades, the number of poor in Indonesia has experienced a significant decline, from 40.10 percent in 1976 to 9.82 percent in March 2018. Nevertheless, the disparity of poverty rates between provinces is still quite high. The poverty rate in several provinces in Java Island, for example, is already at the single-digit level, while in Eastern Indonesia, is still more than double-digit level. As it is known, public spending and economic growth are two crucial instruments on poverty reduction programs. This study aims to investigate the role of economic growth and public spending, particularly education, health, and social protection on poverty reduction in Indonesia. By using panel data from 31 provinces during 2009-2018 period, this study used two regression models to analyze the effects of these two variables on poverty reduction, both in urban and rural areas. This study shows that public spending on health and education sectors has a slightly different effect on poverty reduction between urban and rural areas. Convincingly, spending allocation on health and education has had a significant effect to reduce poverty rate in rural areas, while the decline of poverty rates in urban is likely more influenced by spending on health. This study also shows that over the past ten years, economic growth and social protection spending did not have a significant effect on reducing poverty rates. Therefore, in order to reduce poverty more effectively, it would be better for the government to focus its poverty reduction programs on investment in health and education sectors.

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.

Aspects of the Poverty Scenario in Bangladesh During 2010-2016

This paper investigates a number of inter-related issues pertaining to the recent poverty scenario of Bangladesh – viz., (a) making sense of a marked slowdown in the pace of poverty reduction after 2010, (b) identifying the structural determinants of poverty reduction, and (c) examining regional divergence in the rate of poverty reduction. The analysis identifies falling real wages as the main proximate reason for both slowdown in poverty reduction and rise in income inequality in recent years. The underlying reason, however, is a massive upsurge in rural-to-urban migration which has exerted a downward pressure on real wages in the urban labour market, with repercussion on the rural labour market as well. The main determinants of poverty reduction in the recent years are found to lie in a couple of structural changes – (a) occupational shift, from relatively low-remuneration activities to relatively high-remuneration activities, induced by economic growth and (b) the spread of education, which enables workers to move into relatively high-occupation activities and to earn higher income within the same occupation. Divergent performance in terms of the same two structural factors – namely, occupational shift and the spread of education – are also found to explain a large part of the regional divide in the success in poverty reduction, although additional factors – related to geography and demography – may also be at work.

The Impact of Social Transfers on Poverty Reduction in EU Countries

AbstractAvailable studies indicate a strong negative correlation between poverty and social expenditures in EU countries. It means that the country’s at-risk-of-poverty rate tends to erode with increasing social expenditure. However, the studies have demonstrated that the impact of government spending on poverty may vary according to the sector of spending, how well it is targeted, and the way in which it is financed. Some countries manage to achieve a rather significant poverty rate reduction even with relatively low, in the context of other Member States, social expenditure (percentage of GDP). This suggests that in order to reduce poverty rates, it is important to consider not only the amount allocated to social spending, but also the areas the social transfers are channelled to. The article aims to analyse how the composition and the extent of social spending/transfers may affect poverty reduction in EU countries. The analysis showed that social protection transfers reduce the percentage of people at-risk-of-poverty in all countries, however, to a very different extent. Regression analysis demonstrated that social exclusion and family/children expenditure was found to be the most important predictor for a relative antipoverty effect of social transfers: even a small percentage increase in such expenditure allows quite a significant increase in the relative antipoverty effect of social transfers.

Poverty in Russian regions in 2000-2017: factors and dynamics

The article considers the level and dynamics of the level of poverty in the regions of Russia for 2000-2017, shows the sustainability of regional differentiation, despite the changes in the distribution of regions by the level of poverty. Regions with different rates of poverty reduction in the period of economic growth and the factors that accelerated this process are allocated. The weak impact of the two recent crises on the dynamics of poverty in the regions with different dynamics of income is revealed. The influence of demographic (child burden) and income factors (income level and income inequality), the cost of living in regions and the level of urbanization on regional poverty indicators is considered. The change of influence of different factors of poverty in the early 2000s and in 2017 is shown. An analysis of changes in the regional picture of poverty in transition from absolute to relative criteria of its measurement is carried out.

No Man is an Island: The Impact of Neighborhood Disadvantage on Mortality.

This study’s purpose is to determine if neighborhood disadvantage, air quality, economic distress, and violent crime are associated with mortality among term life insurance policyholders, after adjusting for individual demographics, health, and socioeconomic characteristics. We used a sample of approximately 38,000 term life policyholders, from a large national life insurance company, who purchased a policy from 2002 to 2010. We linked this data to area-level data on neighborhood disadvantage, economic distress, violent crime, and air pollution. The hazard of dying for policyholders increased by 9.8% (CI: 6.0–13.7%) as neighborhood disadvantage increased by one standard deviation. Area-level poverty and mortgage delinquency were important predictors of mortality, even after controlling for individual personal income and occupational status. County level pollution and violent crime rates were positively, but not statistically significantly, associated with the hazard of dying. Our study provides evidence that neighborhood disadvantage and economic stress impact individual mortality independently from individual socioeconomic characteristics. Future studies should investigate pathways by which these area-level factors influence mortality. Public policies that reduce poverty rates and address economic distress can benefit everyone’s health.

Mortgage Lending Regulatory Arbitrage: A Cross-Sectional Analysis of Nonbank Lenders

We provide new insights about less regulated nonbank lenders, major originators of risky subprime mortgages prior to 2008. We document significant cross-sectional variations in lending practices and show that nonbank lenders who entered the industry via less-regulated states are associated with riskier loan originations. We also show that states with lower entry barriers have not significantly increased homeownership rates nor reduced poverty rates. Consistent with the traditional banking literature, our findings suggest that while low industry entry barriers encourage more risk taking by new financial institutions, they do not necessarily translate into long-term economic benefits.

Potential relationship between malaria elimination and reducing stunting in children in sub-Saharan Africa

Background: The Sustainable Development Goals include goals to reduce malaria and stunting. Stunting is a result of childhood undernutrition. Our previous studies found that suppressing malaria could reduce poverty rates among agricultural households in Africa. The objective of this paper is to highlight how suppressing malaria could have the further effect of reducing stunting rates among children in agricultural households. Methods: We estimated the burden of stunting among children in agricultural households in malarious regions of sub-Saharan Africa on the basis of our previous research and data from UNICEF. We also used an evaluation of the impact of a nutrition program in Peru to assess the potential for poverty reduction to reduce stunting. Results: We estimated that there are approximately 21.5 million children suffering from stunting in agricultural households in malarious regions of sub-Saharan Africa. Poverty reduction was found to be a necessary condition to reduce stunting via a multisectoral nutrition program in Peru. The potential impact of suppressing malaria on the poverty rate of agricultural households could therefore play an important role in nutrition programs aiming to reduce stunting in Africa. Reducing the number of children with stunting in these households would improve their health and productivity as adults. Conclusion: We have developed the first estimates of the burden of stunting in agricultural households in malarious regions of sub-Saharan Africa. Understanding how suppressing malaria affects stunting in these households could affect funding for anti-malaria programs. Future research should use longitudinal data to examine this impact at a finer spatial scale.

Sectoral Credit Allocation of Deposit Money Banks and Poverty Reduction in Nigeria

The nature of relationship between deposit money banks loan to certain sector of the economy and its possible effect of reducing poverty rate in Nigeria is controversial and significant. As such, this study set out to examine the extent to which deposit money bank loan and advances to SMEs, agricultural, and manufacturing sectors in Nigeria has helped in reducing poverty rate. To achieve the objective of the study, unit root test, auto regressive distributive lag estimate and causality test were employed. Result shows that deposit money bank loan to SMEs and agricultural sector seem to be inversely related to poverty rate in Nigeria while sectoral allocation to the manufacturing sector is not capable of reducing poverty rate in Nigeria. This inherent relationship between loans to manufacturing sectors and poverty reduction in Nigeria could be attributed to some structural factors cited in the body of the paper. In the light of these findings, this study concluded that (i) Poverty rate in Nigeria is significantly sensitive to deposit money bank credit to agricultural sector; (ii) Within the context of the study, deposit money bank allocation to SMEs has helped in reducing poverty rate in Nigeria to the tune of 1.821 unit. On this premises, it is recommended that bank ordinances and financial institution act should be review to ensure that more credit is allocated to agricultural and SMEs sector as this will help in reducing the ever teaming trend of poverty in Nigeria through the window of job creation.

Poverty in Uganda: Causes and Strategies for Reduction with Great Emphasis on Ethics and Ecological Justice

Uganda is one of the 56 countries on the African continent and among the developing countries in the world. It is one of the poor countries in the world with poverty rates standing at 19.7 percent in 2013. The paper aimed at establishing the causes of poverty in a rich and well-endowed country, and the strategies for poverty reduction with great emphasis on ethics and ecological justice. Although Uganda is among the Sub-Saharan African countries that registered the highest rates of poverty reduction, the country remains among the poorest in the world. According to a 2016 poverty assessment, poverty in Uganda reduced significantly between 2006 and 2013. The number of Ugandans living below the poverty line declined from 31.1 percent in 2006 to 19.7 percent in 2013. However, the actual poverty situation on the ground is pathetic because of ethical, ecological, historical, political, economic and social injustices. In conclusion, Uganda remains one of the poor countries in the world despite significant poverty reduction which underscores the need for more governmental commitment, ethics and ecological justice as well as global contribution.

Economic Vulnerability Among US Female Health Care Workers: Potential Impact of a $15-per-Hour Minimum Wage.

To investigate racial/ethnic and gender inequities in the compensation and benefits of US health care workers and assess the potential impact of a $15-per-hour minimum wage on their economic well-being. Using the 2017 Annual Social and Economic Supplement to the Current Population Survey, we compared earnings, insurance coverage, public benefits usage, and occupational distribution of male and female health care workers of different races/ethnicities. We modeled the impact of raising the minimum wage to $15 per hour with different scenarios for labor demand. Of female health care workers, 34.9% of earned less than $15 per hour. Nearly half of Black and Latina female health care workers earned less than $15 per hour, and more than 10% lacked health insurance. A total of 1.7 million female health care workers and their children lived in poverty. Raising the minimum wage to $15 per hour would reduce poverty rates among female health care workers by 27.1% to 50.3%. Many US female health care workers, particularly women of color, suffer economic privation and lack health insurance. Achieving economic, gender, and racial/ethnic justice will require significant changes to the compensation structure of health care.

Gender, Microcredit and Poverty Alleviation in a Developing Country: The Case of Women Entrepreneurs in Pakistan

AbstractThe paper explores the impact of financial exclusion on financial and human poverty amongst women in Pakistan. The findings suggest that persistent financial exclusion, gender discrimination and conservative religious values adversely impact women's empowerment. There is an inverse correlation between the size of microcredit and women's financial poverty, which is not the case for human poverty. Larger families experienced higher rates of poverty reduction than smaller families. The study offers evidence and supports theories on the impact of microcredit upon poverty alleviation. These findings inform policy makers, women entrepreneurs and microfinance institutions. © 2018 John Wiley & Sons, Ltd.

The Impact of Social Safety Net Programs on Poor Household Income

Indonesian government has established social safety net programs to reduce poverty and increase the productivity and income of poor households. Among other provinces in Indonesia, East Java has the highest poverty rate. Thus, this research aims to analyze the effectiveness of social safety net programs in reducing poverty rate in East Java. This research uses quantitative approach to measure the contribution of social safety net programs towards the income of poor households in East Java. This research employs equivalent simultaneous equation with three-stage least square (3SLS) method on secondary cross section data obtained from National Socio-Economic Survey (Susenas), March 2015. This research calculates and analyzes the impacts of social aid, social protection and labor market intervention programs towards the income of poor household income. The results show that social aid and labor market intervention programs have positive implication on the income of poor households. On the other hand, social security has no significant implication. Moreover, social security provides a safety net when a household faces unexpected situation such as redundancy, accident and death. Social security programs prevent poor households for being poorer.