The impact of human capital on urban poverty: The case of Sargodha city
AbstractThe positive relationship between human capital and income/wages has been supported by empirical research. Millennium Development Goals (MDGs) and the Poverty Reduction Strategy Paper (PRSP) enormously emphasize on human capital for curbing poverty. The economic development in East Asian countries is also linked with investment in education for the development of human capital. This study is designed to investigate the relationship of different levels of education and experience upon urban poverty at medium sized city in Pakistan such as Sargodha. A survey-based analysis was carried out on a sample of 330 households. Poverty status of the individual is defined by using adjusted official poverty line. Results show that education and experience is negatively related with the poverty status of individuals and this fact sustains even in separate gender estimates as well. This implies education of poor is necessary in breaking the vicious circle of poverty. Combined effort by public, private, community participation and NGO’s with special focus on elementary (Primary and middle) education is suggested for reducing poverty by increasing the productivity of the poor through education.
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Bibliographic InfoPaper provided by University Library of Munich, Germany in its series MPRA Paper with number 31829.
Date of creation: 2011
Date of revision:
Publication status: Published in Journal of Sustainable Development 1.4(2011): pp. 143-150
Human Capital; Urban Poverty; Sargodha; Pakistan;
Find related papers by JEL classification:
- E24 - Macroeconomics and Monetary Economics - - Consumption, Saving, Production, Employment, and Investment - - - Employment; Unemployment; Wages; Intergenerational Income Distribution
- I3 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty
- J24 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Human Capital; Skills; Occupational Choice; Labor Productivity
- I32 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty - - - Measurement and Analysis of Poverty
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