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1 – 10 of over 40000In recent years a great deal of time and resources have been devoted to understanding poverty in general and elderly poverty in particular. This paper uses a panel data set…
Abstract
In recent years a great deal of time and resources have been devoted to understanding poverty in general and elderly poverty in particular. This paper uses a panel data set spanning the years 1980–2001 to investigate the impact of certain economic and demographic factors on overall, non-elderly, and elderly poverty. We also investigate the robustness of income-only poverty measures when the threshold income level is altered.
Christopher K. Johnson and Hoseong Kim
The impacts of median income and other variables on the Sen index of poverty in the United States are investigated using panel data with fixed time period and cross sectional…
Abstract
The impacts of median income and other variables on the Sen index of poverty in the United States are investigated using panel data with fixed time period and cross sectional effects. Estimates for the Sen index and its decomposed components – the headcount ratio, poverty gap ratio, and Gini coefficient among the poor reveal that median income among state/regions and across time systematically influences the Sen index and each of its components. However, the results reveal that labor market and demographic control variables have quite different effects on the distinct components of the Sen index.
Abigail Adeyonu, Dare Akerele, Mojisola Olanike Kehinde, Olugbenga Adesoji Christopher Ologbon, Oluwaremilekun Akintayo and Roseline Kolawole
Despite a reduction in poverty the global population in 2015, the incidence of poverty remains very high in Sub-Saharan African countries. Most of the countries in the region are…
Abstract
Purpose
Despite a reduction in poverty the global population in 2015, the incidence of poverty remains very high in Sub-Saharan African countries. Most of the countries in the region are agrarian, with most of their population residing in rural areas, and a majority of the poor in the region are found in Nigeria. This study examined the nexus between participation in nonfarm enterprises (NFEs) and poverty among rural farm households in Nigeria and across the six geopolitical zones.
Design/methodology/approach
The Nigerian Living Standard Survey (NLSS) conducted in 2018–2019 by the National Bureau of Statistics was used. We made use of 13,440 farm households with useful information for the purpose of this study. The sample comprises 6,885 households that participated in NFEs and 6,555 nonparticipating households. The data were analyzed with Foster, Greer, and Thorbecke (FGT) (1984) metrics, probit, and fractional probit models at p = 0.05.
Findings
The incidence of poverty was lower among the participating households than in the nonparticipating households. Participation in NFEs had a mitigating effect on poverty. We also established that zonal differentials in poverty rates exist among households in all the analyses. Participation in NFEs was influenced by individual, household, and institutional factors and was also able to explain the depth of poverty among the respondents.
Practical implications
It is suggested that poverty alleviation policies should be targeted at improving access to nonfarm economic activities by rural farm households residing in vulnerable geopolitical zones.
Originality/value
This study is the first attempt to profile household poverty based on the type of NFEs they are involved in. The study also provides an insight into the effect of the state of residence on zonal poverty models, which is expedient if the country must achieve Sustainable Development Goal 1 on the eradication of poverty everywhere.
Peer review
The peer review history for this article is available at: https://publons.com/publon/10.1108/IJSE-06-2023-0493
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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
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While extensive research exists on how positive life circumstances and positive personality traits promote entrepreneurship, there is little research focusing on how negative…
Abstract
Purpose
While extensive research exists on how positive life circumstances and positive personality traits promote entrepreneurship, there is little research focusing on how negative personal circumstances may potentially breed entrepreneurship. This study aims to build upon the theory of underdog entrepreneurship to examine the effect of challenging life circumstances such as poverty on the development of entrepreneurial traits in underdog entrepreneurs. This research analyzed the effect of risk-taking (RT) on the entrepreneurial success (ES) of underdog entrepreneurs and the role of optimism (OPM) and persistence (P) as mediating variables and poverty as a moderator variable.
Design/methodology/approach
A cross-sectional survey was conducted to collect data from 400 micro-finance borrowers of Akhuwat Foundation Pakistan. Akhuwat provides interest-free small loans to the poor segment of society. Preliminary testing of the survey questionnaire with a sample of 35 borrowers of Akhuwat Foundation in Lahore city was conducted before data collection. Data was collected from four randomly selected branches in Lahore city.
Findings
The authors found that OPM and P significantly mediate the relationship between RT and ES. In addition, the authors analyzed the moderating effect of poverty on the relationship between OPM and ES and found a negative moderating effect. A strong positive moderating effect of poverty was found on the relationship between P and ES. The results of multi-group analysis show that successful and unsuccessful underdog entrepreneurs differ in their RT propensity, which is significantly mediated by OPM and P.
Originality/value
This study provides empirical evidence on entrepreneurial traits and success of poor entrepreneur in an emerging economy. This work is original and has not been submitted elsewhere.
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In this study, the impact of access to electricity on poverty reduction for Botswana is examined using the annual data from 1990 to 2021. The study was motivated by the need to…
Abstract
Purpose
In this study, the impact of access to electricity on poverty reduction for Botswana is examined using the annual data from 1990 to 2021. The study was motivated by the need to establish if access to electricity could be a panacea on poverty reduction in Botswana. Given that the United Nations Sustainable Development Goals deadline is fast approaching, and Botswana being one of the signatories, is expected to end poverty in all its forms – Goal 1. Establishing the role that electrification plays in poverty alleviation, helps in refocusing Botswana’s poverty alleviation strategies on factors that have high impact on poverty. The main objective of this study, therefore, is to investigate the relationship between poverty alleviation and access to electricity in Botswana.
Design/methodology/approach
The study uses the autoregressive distributed lag (ARDL) approach to investigate the nature of the relations. Two poverty proxies were used in this study namely, household consumption expenditure and life expectancy.
Findings
The study found access to electricity to reduce poverty in the long run and in the short run, regardless of the poverty measure used. Thus, access to electricity plays an important role in poverty alleviation and Botswana is recommended to continue with the rural and urban electrification initiatives.
Originality/value
The study explores the impact of access to electricity on poverty reduction in Botswana, a departure from the current studies that examined the same relationship using energy consumption in general. This is on the back of increasing dependence of economic activities on electricity as a major source of energy.
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Urs Jäger, Felipe Symmes, Silke Bucher and Stephanie Rüegger
The purpose of this paper is to study triadic market relations between an international aid agency (IAA), local ventures and the poor communities where they are embedded in order…
Abstract
Purpose
The purpose of this paper is to study triadic market relations between an international aid agency (IAA), local ventures and the poor communities where they are embedded in order to shift the poverty alleviation discussion to account for the perceptions held by each category of actor, especially those of poor communities. Poverty alleviation is a key commitment of the United Nations, and market-driven approaches are increasingly advocated as a means to reduce poverty, particularly among IAAs. One such strategy is to connect ventures in poor communities with international markets. However, research shows that such approaches have mixed success.
Design/methodology/approach
The authors conducted a comparative case study of three ventures embedded in urban and rural poor communities receiving support from an IAA. The authors then analyzed the data to determine the mechanisms that led to discrepancies in the perceptions of poverty alleviation held by each actor involved.
Findings
This study suggests three such mechanisms: ‘decoupling markets from poverty’, wherein aiding ventures may paradoxically lead to decoupling them from poor communities; ‘overburden stress’, in which ventures cannot fulfil a poverty alleviation role through their market activities because the expectation to do so overburdens the venture; and ‘value divergence’, in which the actors involved evaluate the impact of these approaches differently.
Originality/value
The authors propose that a key aspect of enabling effective poverty alleviation through market-driven approaches in terms of substantial, long-term contributions is to monitor and support the relations between the actors involved – including the poor communities themselves – and explore how each perceives the efficacy of the approach.
Propósito
El objetivo de nuestro estudio es integrar las percepciones de tres actores: los organismos internacionales, los emprendimientos en comunidades pobres y las propias comunidades pobres, con el fin de cambiar la discusión sobre la reducción de la pobreza hacia las percepciones de los diferentes actores involucrados en las relaciones de mercado, en particular las de las comunidades pobres. La reducción de la pobreza es un compromiso clave de las Naciones Unidas, y en la actualidad se promueven enfoques de mercado como un medio para reducir la pobreza, especialmente entre los organismos internacionales. Una estrategia consiste en conectar emprendimientos en comunidades pobres con mercados internacionales. Sin embargo, investigaciones previas muestran que estos enfoques de mercado tienen un éxito variado en ciertas ocasiones y en otras no.
Metodología
Realizamos un estudio de casos comparativo de tres emprendimientos en comunidades pobres urbanas y rurales que reciben apoyo de un organismo internacional. Luego, analizamos nuestros datos para determinar qué mecanismos condujeron a discrepancias en las percepciones de cada actor involucrado con respecto a la reducción de la pobreza.
Resultados
Nuestro estudio identifica tres mecanismos que explican las discrepancias en las percepciones de los actores involucrados con respecto a los enfoques de mercado para la reducción de la pobreza: ‘desvinculación de los mercados de la pobreza’, en donde el apoyo a los emprendimientos puede llevar paradójicamente a separarlos de las comunidades pobres; ‘estrés de sobrecarga’ que captura situaciones en las que los emprendimientos no pueden cumplir su función de reducción de la pobreza a través de sus actividades en el mercado debido a que la expectativa de hacerlo, aunque implícita, sobrecarga al emprendimiento; y ‘divergencia de valores’ que muestra que los actores involucrados a menudo evalúan de manera diferente el impacto de los enfoques de mercado en la pobreza.
Originalidad
Proponemos que un aspecto clave de la reducción efectiva de la pobreza a través de enfoques de mercado que hagan contribuciones sustanciales y a largo plazo es monitorear las relaciones y la eficacia percibida entre todos los actores involucrados en estos enfoques, incluyendo a las propias comunidades pobres.
Propósito
El objetivo de nosso estudo é integrar as percepções de três atores: os organismos internacionais, os empreendimentos em comunidades pobres e as próprias comunidades pobres, com o objetivo de mudar a discussão sobre a redução da pobreza para as percepções dos diferentes atores envolvidos nas relações de mercado, particularmente as das comunidades pobres. A redução da pobreza é um compromisso chave das nações unidas, e atualmente abordagens de mercado são promovidas como um meio para reduzir a pobreza, especialmente entre os organismos internacionais. Uma estratégia consiste em conectar empreendimentos em comunidades pobres com mercados internacionais. No entanto, pesquisas anteriores mostram que essas abordagens de mercado têm sucesso variado em algumas ocasiões e em outras não.
Metodologia
Realizamos um estudo de casos comparativo de três empreendimentos em comunidades pobres urbanas e rurais que recebem apoio de um organismo internacional. Em seguida, analisamos nossos dados para determinar quais mecanismos levaram a discrepâncias nas percepções de cada ator envolvido em relação à redução da pobreza.
Resultados
Nosso estudo identifica três mecanismos que explicam as discrepâncias nas percepções dos atores envolvidos em relação às abordagens de mercado para a redução da pobreza: ‘desvinculação dos mercados da pobreza’, onde o apoio aos empreendimentos pode paradoxalmente separá-los das comunidades pobres; ‘estresse de sobrecarga’ que captura situações em que os empreendimentos não podem cumprir sua função de redução da pobreza por meio de suas atividades no mercado devido à expectativa de fazê-lo, mesmo que implicitamente, sobrecarregando o empreendimento; e ‘divergência de valores’ que mostra que os atores envolvidos frequentemente avaliam de maneira diferente o impacto das abordagens de mercado na pobreza.
Originalidade
Propomos que um aspecto-chave da redução efetiva da pobreza por meio de abordagens de mercado que façam contribuições substanciais e a longo prazo é monitorar as relações e a eficácia percebida entre todos os atores envolvidos nessas abordagens, incluindo as próprias comunidades pobres.
Details
Keywords
- Poverty alleviation
- International aid agencies
- Market relations
- Poor communities
- Local ventures
- Reducción de la pobreza
- Organismos internacionales
- Relaciones de mercado
- Comunidades pobres
- Emprendimientos locales
- Redução da pobreza
- Organismos internacionais
- Relações de mercado
- Comunidades pobres
- Empreendimentos locais
Amélia Bastos, Graça Leão Fernandes and José Passos
This paper is a study on child poverty from two perspectives: child income poverty (derived from family income) and child deprivation (evaluated by non‐monetary indicators). On…
Abstract
This paper is a study on child poverty from two perspectives: child income poverty (derived from family income) and child deprivation (evaluated by non‐monetary indicators). On the one hand, empirical evidence supports the thesis that income‐based poverty measures and deprivation measures do not overlap. On the other hand, the relationship between poverty and the child's living conditions is not linear. Uses micro‐econometric techniques to analyse child income poverty and present deprivation indicators, and thereby an index of child deprivation, to study child poverty. The measurements used are centred on the child. The results obtained support the thesis that the study of child poverty differs whether the focus is on the child or on the family.
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Chakrangi Lenagala and Rati Ram
By using the World Bank's new poverty data that are based on the most recent International Comparison Program report, this research aims to revisit the response of poverty rate to…
Abstract
Purpose
By using the World Bank's new poverty data that are based on the most recent International Comparison Program report, this research aims to revisit the response of poverty rate to increase in real gross domestic product (GDP) per capita.
Design/methodology/approach
The response is summarized in terms of elasticity of poverty with respect to real GDP per capita, which is the ratio of annual percentage fall in poverty rate to annual percentage increase in real GDP per capita. The main calculations are done for the entire group of less‐developed countries (LDCs), poverty‐dense South Asia region, and India, which probably has the highest poverty rate. The periods studied are 1981‐1990, 1990‐1999, and 1999‐2005. The calculations are done for four different poverty measures.
Findings
Five major points are noted. First, the elasticities generally show a declining tendency over the period, indicating that poverty‐reducing impact of income growth has been weakening. Second, the elasticities show huge differences across the poverty lines, and generally decline with higher poverty lines. Third, while global elasticities for $1.00 poverty line bear some resemblance to those reported or used by many scholars, elasticities for $2.00 and 2.50 poverty rates are dramatically lower, and reinforce the view that many influential estimates show the effect of income growth on poverty to be much higher than the data indicate. Fourth, elasticities for poverty‐dense South Asia are again seen to be much lower than those for the entire LDC group. Fifth, for India, where $2.00 and 2.50 poverty rates are higher than even in Sub‐Saharan Africa, the elasticities are extremely low and have been declining despite an acceleration in income growth. The overall implication seems to be that income growth has generally been less pro‐poor during the globalization era of the 1990s and the 2000s than during the 1980s. In particular, income growth in India seems to have had an extremely small impact on poverty, and that impact, notably for $1.00 and 1.25 poverty lines, has been declining.
Originality/value
First, although there is a vast literature on growth elasticities of poverty, this seems to be the first study that uses World Bank's new poverty data to judge the impact of income growth on poverty. Second, this is the only study that directly estimates and compares elasticities for the four poverty lines of $1.00, 1.25, 2.00, and 2.50, and shows large differences in the elasticities for different poverty lines. Third, this is probably the only work that compares elasticities for the 1980s, 1990s, and the 2000s. Fourth, although some indication of very low elasticities for South Asia and India does exist in a recent study, $2.50 elasticities reported in the present work for India, and even South Asia, should constitute an eye‐opener for scholars, policy‐makers, and international organizations in regard to the potential role of income growth in poverty reduction. Fifth, the observed decline in most elasticities during the 1990s and 2000s, as compared with the 1980s, despite higher income levels and growth rates, may shed light on the likely role of globalization in reducing poverty.