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Poverty, Growth and Inequality in Developing Countries

Author

Listed:
  • Housseima Guiga

    (Faculty of Economic Sciences and Management of Tunis,Tunis El Manar University, TUNISIA.)

  • Jaleleddine Ben Rejeb

    (, Higher Institute of Management of Sousse, University of Sousse, TUNISIA.)

Abstract

The purpose of this paper is to assess the position of some developing countries in relation to different theories about the relationship between poverty, growth and inequality. We conducted an econometric analysis through a study using panel data from 52 developing countries over the period 1990-2005, to determine the main sources of poverty reduction and show the interdependence between poverty, inequality and growth by using a system of simultaneous equations. This method is rarely applied econometric panel data and especially in the case studies on poverty. Our results indicate that the state investment in social sectors such as education and health and improving the living conditions of the rural population can promote economic growth and reducing inequality. Therefore, the Kuznets hypothesis is based on a relationship between economic growths to income inequality is most appropriate.

Suggested Citation

  • Housseima Guiga & Jaleleddine Ben Rejeb, 2012. "Poverty, Growth and Inequality in Developing Countries," International Journal of Economics and Financial Issues, Econjournals, vol. 2(4), pages 470-479.
    • Handle: RePEc:eco:journ1:2012-04-9
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    References listed on IDEAS

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    Cited by:

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    2. Tarık ILIMAN & Recep TEKELİ, 2016. "Political Economy of Poverty in Turkey," Sosyoekonomi Journal, Sosyoekonomi Society, issue 24(29).
    3. Julian Augusto Casas Herrera, 2020. "Develando el vínculo entre la desigualdad y la pobreza," Apuntes del Cenes, Universidad Pedagógica y Tecnológica de Colombia, vol. 39(69), pages 39-68, February.

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    More about this item

    Keywords

    Audit Quality; Earnings Management; Legal Enforcement;
    All these keywords.

    JEL classification:

    • C30 - Mathematical and Quantitative Methods - - Multiple or Simultaneous Equation Models; Multiple Variables - - - General
    • C33 - Mathematical and Quantitative Methods - - Multiple or Simultaneous Equation Models; Multiple Variables - - - Models with Panel Data; Spatio-temporal Models
    • I32 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty - - - Measurement and Analysis of Poverty
    • O15 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Economic Development: Human Resources; Human Development; Income Distribution; Migration

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