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Article
Publication date: 23 January 2007

Philip Young P. Hong and Shanta Pandey

The purpose of this study is to examine the individualistic and the structural nature of human capital and its relationship with poverty.

2020

Abstract

Purpose

The purpose of this study is to examine the individualistic and the structural nature of human capital and its relationship with poverty.

Design/methodology/approach

An examination was made of the individual and the interaction effects of three dimensions of human capital (education, training, and health), gender, race, and underemployment on poverty status, after controlling for the direct effect of these variables. The sample included working‐age individuals in the USA taken from the 1996 panel of the Survey of Income and Program Participation (SIPP).

Findings

The results show that among the human capital variables, postsecondary education is a particularly important factor associated with poverty among women and minorities. Job training, on the other hand, worsened the economic situation for non‐Whites. For individuals with less than post‐secondary education, the combined effect of training participation and health status significantly reduced the likelihood of being poor. Underemployment consistently moderated the effects of human capital, gender, and race on poverty status. Interestingly, underemployed women were less likely to be poor compared to those with more secure jobs. Women with training were more likely to be poor when they were underemployed compared to being in good jobs. This same relationship held true for minority groups with training having greater likelihood of being poor when they were underemployed.

Originality/value

This study provides an empirical validation of human capital as the structurally vulnerable attributes that are disproportionately distributed in the labor market for many American poor.

Details

Equal Opportunities International, vol. 26 no. 1
Type: Research Article
ISSN: 0261-0159

Keywords

Article
Publication date: 14 March 2024

Lim Thye Goh, Irwan Trinugroho, Siong Hook Law and Dedi Rusdi

The objective of this paper is to investigate the impact of institutional quality, foreign direct investment (FDI) inflows and human capital development on Indonesia’s poverty

Abstract

Purpose

The objective of this paper is to investigate the impact of institutional quality, foreign direct investment (FDI) inflows and human capital development on Indonesia’s poverty rate.

Design/methodology/approach

The quantile regression on data ranging from 1984 to 2019 was used to capture the relationship between the impact of the independent variables (FDI inflows, institutional quality and human capital development) on Indonesia’s poverty rate at different quantiles of the conditional distribution.

Findings

The empirical results reveal that low-quantile institutional quality is detrimental to poverty eradication, whereas FDI inflows and human capital development are significant at higher quantiles of distribution. This implies that higher-value FDI and advanced human capital development are critical to lifting Indonesians out of poverty.

Practical implications

Policymakers should prioritise strategies that advance human capital development, create an enticing investment climate that attracts high-value investments and improve institutional quality levels.

Originality/value

This study contributes to the existing literature because, compared to previous studies that focussed on estimating the conditional mean of the explanatory variable on the poverty rate. It rather provides a more comprehensive understanding of the quantiles of interest of FDI inflows and institutional quality on the Indonesian poverty rate, allowing for more targeted policies.

Peer review

The peer review history for this article is available at: https://publons.com/publon/10.1108/IJSE-09-2023-0733

Details

International Journal of Social Economics, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 0306-8293

Keywords

Article
Publication date: 8 May 2017

Olusegun Ayodele Akanbi

The purpose of this paper is to examine the impact of migration on economic growth and human development in selected Sub-Saharan African (SSA) countries.

1985

Abstract

Purpose

The purpose of this paper is to examine the impact of migration on economic growth and human development in selected Sub-Saharan African (SSA) countries.

Design/methodology/approach

The estimations were carried out in a panel of 19 selected SSA countries over the period 1990-2013, using the two-stage least squares estimation techniques. Two measures of migration, namely stock of international migrants and the ratio of personal remittances received to personal remittances paid were used in the study to carry out this investigation.

Findings

The results conform to the findings of existing literature, namely that social expenditure, domestic investment, financial inclusion, income inequality, income and human poverty are significant determinants of either human development or per capita GDP in Sub-Saharan Africa. The distinctive feature of the study is the significant but negative role played by migration in explaining human development and economic growth in the region. The results from the panel estimations reveal that an increase in the measures of migration deteriorates the level of human development and growth of the region.

Research limitations/implications

The major limitation of this study is the unavailability of quality data on migration flows. Therefore, it would be imperative to reinvestigate the specifications adopted in this study in follow-up studies.

Practical implications

The study includes implications for policy makers, especially in SSA countries, that the pattern and flow of migration does not circulate within the region and has tended to drain out human capital to other regions of the world. In the same event, the stock of migrants residing in the region may be low-skilled migrants that do not contribute directly to the level of human development.

Originality/value

To assess the impact of migration on economic growth and development such as the SSA region, it is imperative to follow the growth-based, capacity-based and asset-based approaches to development. This study has made this distinction.

Details

International Journal of Social Economics, vol. 44 no. 5
Type: Research Article
ISSN: 0306-8293

Keywords

Article
Publication date: 2 August 2018

Chong Siew Huay and Yasmin Bani

The purpose of this paper is to analyze the relationship between remittances and poverty through the human capital channel in developing countries, which has received less…

Abstract

Purpose

The purpose of this paper is to analyze the relationship between remittances and poverty through the human capital channel in developing countries, which has received less attention in the literature.

Design/methodology/approach

The paper applied the system GMM developed by Arellano and Bond (1991) and Arellano and Bover (1995) containing 54 developing countries. This estimator is appropriate compared to a cross-section technique because it controls for the endogeneity of all explanatory variables, includes unobserved country-specific effects and allows for the inclusion of lagged dependent variables.

Findings

The results suggest that, while remittances reduced poverty, the effect is moderated via education. A 1 percent increase in remittances reduces the poverty headcount by 0.47 percent, while the reduction is 0.33 percent via education. The marginal effect of remittances is negatively related to the level of education, indicating that education mitigates the effect of remittances on poverty.

Practical implications

This paper includes the implications for the policymakers to justify the need for more effective approaches. It is useful to identify whether and how remittances and human capital interact in their effect on poverty when deciding the most desirable allocation of available resources between these two priorities.

Originality/value

This paper takes a step forward filling the limited evidence on the role of human capital in remittances–poverty relationship in developing countries. Different from the existing studies which have used the traditional panel estimators, this study utilizes the dynamic panel estimators such as system GMM to tackle the specification issues of endogeneity, measurement errors and heterogeneity.

Details

International Journal of Social Economics, vol. 45 no. 8
Type: Research Article
ISSN: 0306-8293

Keywords

Book part
Publication date: 26 May 2022

Eddy Priyanto, Eny Lestari Widarni and Suryaning Bawono

The purpose of this research is to find the best solution in cutting the poverty chain in the human capital development framework based on human capital investment with the…

Abstract

The purpose of this research is to find the best solution in cutting the poverty chain in the human capital development framework based on human capital investment with the opportunity and threat of Internet Inclusion and Financial Inclusion. This study uses a vector error correction model to see the relationship between variables, response, and impulse between variables to provide an overview of the relationship between variables during the study period and forecast future variable trends. We found that technological and financial inclusion P2P Lending can be an opportunity and a threat to developing the Indonesian people's human capital to reduce poverty. Human capital is proven to be effective in reducing poverty. Increasing human capital through human capital investment supported by inclusion technology and financial inclusion can reduce Indonesia's poverty. Financial inclusion can increase entrepreneurial and economic growth.

Details

Modeling Economic Growth in Contemporary Indonesia
Type: Book
ISBN: 978-1-80262-431-1

Keywords

Article
Publication date: 1 March 2013

Allam Ahmed and Amer Al‐Roubaie

The purpose of this paper is to assess and evaluate the role of information and communication technologies as a proposed solution to reduce poverty in the Arab countries and…

Abstract

Purpose

The purpose of this paper is to assess and evaluate the role of information and communication technologies as a proposed solution to reduce poverty in the Arab countries and therefore achieve sustainable development.

Design/methodology/approach

In this article, the authors have taken a somewhat extensive review of the different aspects of ICTs in DCs with particular focus on Arab countries. Given the current poor conditions and isolation of Arab countries from the rest of the world, a number of fundamental research questions are addressed.

Findings

Empowering nations with ICTs could increase productivity, promote human development, create knowledge, disseminate information and reduce poverty.

Originality/value

The paper highlights the importance of building ICTs capacity for both promoting human development and enhancing capabilities of people to participate in the economy.

Details

World Journal of Science, Technology and Sustainable Development, vol. 10 no. 3
Type: Research Article
ISSN: 2042-5945

Keywords

Content available
Book part
Publication date: 8 May 2019

Abstract

Details

African Economic Development
Type: Book
ISBN: 978-1-78743-784-5

Article
Publication date: 4 April 2024

Liyana Eliza Glenn and Glenn Hardaker

This paper will identify and further explore the ideals versus realities of learning poverty and the consequential effects on our moral obligations and responsibilities. The…

Abstract

Purpose

This paper will identify and further explore the ideals versus realities of learning poverty and the consequential effects on our moral obligations and responsibilities. The wealthy nations are now under further pressure to recognise and realise their moral obligations to enabling social justice in the context of access, and distribution, of vaccines for the poorer nations. Learning poverty has always been a feature of our global economic, and institutional order, and has become an increasingly important factor in achieving justice.

Design/methodology/approach

The study focusses on a human rights approach to learning poverty and the ideals versus the realities of what we are beginning to see in the times of a global pandemic. The major challenges to justice is inherent to the recognition that wealthy nations continue to have a pivotal role in the reduction of poverty. The identified major challenges in the context of learning poverty are: “nation states and the global pandemic”, “international interactions and learning poverty” and “global institutions and learning inequalities”. In particular, the authors explore the concept of ideals versus realities through three “challenges”, which continues to challenge any semblance of justice in the current global vaccine distribution. Nation states and borders, international interactions and global institutions remain barriers in overcoming what is becoming a reality of learning poverty.

Findings

This paper seeks to look beyond the economics of vaccine trade and seek a way to accept a moral claim of justice for all. The authors consider how wealthy nations are active participants in the emergence of learning poverty for many nations.

Originality/value

By exploring the ideals versus realities of learning poverty, and human rights, the authors highlight some of the challenges, and wealthy nations moral obligations, through the emergence of a new dimensional indicator of poverty, learning poverty.

Details

The International Journal of Information and Learning Technology, vol. 41 no. 2
Type: Research Article
ISSN: 2056-4880

Keywords

Article
Publication date: 27 April 2018

Madeleine Fombad

This paper aims to explore poverty issues in South Africa, to investigate some of the key contributions that knowledge management can make in the eradication of poverty and to…

1342

Abstract

Purpose

This paper aims to explore poverty issues in South Africa, to investigate some of the key contributions that knowledge management can make in the eradication of poverty and to suggest a strategy of knowledge management for poverty eradication in South Africa.

Design/methodology/approach

This is a conceptual paper. Secondary data sources, in the form of journal articles, policy documents, newspaper articles and the internet, were consulted.

Findings

This paper contributes to the debates on moving towards an integrated poverty strategy that goes beyond reducing poverty by simply raising national income. The paper advocates for a contextualised knowledge management strategy tailored to specific poverty intervention projects and communities. It also suggests that a knowledge management strategy will result in permanent investment in knowledge and the human development of people.

Research limitations/implications

Given that this is a conceptual paper, the paper recommends empirical future studies that will implement this strategy within specific poverty-stricken communities in the country.

Practical/implications

The paper raises awareness among policy and decision-makers of the importance of knowledge management as a tool for poverty eradication. In the knowledge economy, knowledge assets – other than the tangible assets of financial capital and local infrastructure – are the prime creator of wealth. It adds to the body of knowledge on knowledge management for poverty eradication by the World Bank and other international organisations.

Social implications

A knowledge management strategy will create an environment in which human development is attained and the minds of the poor are transformed. It will enhance policy formulation and implementation, empower the poor and create a learning organisation.

Originality/value

The paper presents a proposed strategy for knowledge management for poverty eradication in South Africa.

Details

Journal of Information, Communication and Ethics in Society, vol. 16 no. 2
Type: Research Article
ISSN: 1477-996X

Keywords

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