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Impact of education on poverty reduction

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  • Awan, Masood Sarwar
  • Malik, Nouman
  • Sarwar, Haroon
  • Waqas, Muhammad

Abstract

Poverty is a stumbling block in the way of achieving economic development. Cognizant of the essence of Millennium Development Goals (MDGs) and ‘Education for All’ program, education is promulgated as the primary weapon against poverty prevalence. Hence it is important to seek out the effect of different levels of education upon poverty in Pakistan. This study evaluates the effect of different levels of education, experience and gender of the employed individuals (employers, self-employed, wage earners and unpaid family workers) as the determinants of poverty. The data for this task comes from the Household Integrated Economic Survey (HIES) for the years 1998-99 and 2001-02. A logistic regression model is estimated based on this data, with the probability of an individual being poor as the dependent variable and a set of educational levels, experience and gender as explanatory variables. It is found that experience and educational achievement is negatively related with the poverty incidence in both years. Also as we go for the higher levels of education the chances of a person being non-poor increases. Moreover, being a male person provides an advantage in retaining a position above poverty level.

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Bibliographic Info

Paper provided by University Library of Munich, Germany in its series MPRA Paper with number 31826.

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Date of creation: 2011
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Publication status: Published in International Journal of Academic Research 1.3(2011): pp. 659-664
Handle: RePEc:pra:mprapa:31826

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Keywords: Poverty; Education; Pakistan;

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  1. Christopher Colclough, 2005. "Does Education Abroad Help to Alleviate Poverty at Home? An Assessment," The Pakistan Development Review, Pakistan Institute of Development Economics, Pakistan Institute of Development Economics, vol. 44(4), pages 439-454.
  2. Charles Augustine Abuka & Michael Atingi-Ego & Jacob Opolot & Patrick Okello, 2007. "Determinants of poverty vulnerability in Uganda," The Institute for International Integration Studies Discussion Paper Series, IIIS iiisdp203, IIIS.
  3. Rodriguez, Adrian G. & Smith, Stephen M., 1994. "A comparison of determinants of urban, rural and farm poverty in Costa Rica," World Development, Elsevier, Elsevier, vol. 22(5), pages I-I, May.
  4. Zafar Mueen Nasir & Hina Nazli, 2000. "Education And Earnings In Pakistan," PIDE-Working Papers, Pakistan Institute of Development Economics 2000:177, Pakistan Institute of Development Economics.
  5. Takashi Kurosaki & Humayun Khan, 2006. "Human Capital, Productivity, and Stratification in Rural Pakistan," Review of Development Economics, Wiley Blackwell, Wiley Blackwell, vol. 10(1), pages 116-134, 02.
  6. Rodriguez, Adrian G. & Smith, Stephen M., 1994. "A comparison of determinants of urban, rural and farm poverty in Costa Rica," World Development, Elsevier, Elsevier, vol. 22(3), pages 381-397, March.
  7. Okojie, Christiana E.E., 2002. "Gender and Education as Determinants of Household Poverty in Nigeria," Working Paper Series, World Institute for Development Economic Research (UNU-WIDER) UNU-WIDER Research Paper , World Institute for Development Economic Research (UNU-WIDER).
  8. Rashida Haq, 2005. "An Analysis of Poverty at the Local Level," The Pakistan Development Review, Pakistan Institute of Development Economics, Pakistan Institute of Development Economics, vol. 44(4), pages 1093-1109.
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Cited by:
  1. Awan, Masood Sarwar & Iqbal, Nasir & Muhammad, Waqas, 2011. "The impact of human capital on urban poverty: The case of Sargodha city," MPRA Paper 31829, University Library of Munich, Germany.
  2. John Anyanwu, 2013. "Working Paper 181 - Determining the Correlates of Poverty for Inclusive Growth in Africa," Working Paper Series, African Development Bank 979, African Development Bank.
  3. Hati, Koushik Kumar, 2012. "Can Poverty be Educated Out?," MPRA Paper 57374, University Library of Munich, Germany.
  4. Ali, Sharafat & Ahmad, Najid, 2013. "Human Capital and Poverty in Pakistan: Evidence from the Punjab Province," MPRA Paper 48876, University Library of Munich, Germany, revised Aug 2013.
  5. Safana, Shaheen & Masood, Sarwar & Muhammad, Waqas & Amir, Aslam, 2012. "Economic Analysis of Earnings in Pakistan: A Case of Sargodha District," MPRA Paper 41923, University Library of Munich, Germany.

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