IDEAS home Printed from https://ideas.repec.org/a/ebl/ecbull/eb-06aa0023.html
   My bibliography  Save this article

Poverty and Inequality Nexus: Illustrations with Nigerian Data

Author

Listed:
  • Abdelkrim Araar

    (CIRPEE)

  • Awoyemi Taiwo

    (DEPARTMENT OF AGRICULTURAL ECONOMICS)

Abstract

The main aim of this paper is to explore the link between poverty and inequality. In developing countries, there is a general consensus that high inequality can dampen significantly the impact of economic performance on poverty. In this paper, we propose a new theoretical framework that links poverty and inequality. We also show between and within group inequalities, as well as inequality in income sources, can contribute to total poverty. The methodology of the paper is illustrated using the 2004 Nigerian national living standard survey.

Suggested Citation

  • Abdelkrim Araar & Awoyemi Taiwo, 2006. "Poverty and Inequality Nexus: Illustrations with Nigerian Data," Economics Bulletin, AccessEcon, vol. 28(15), pages 1.
    • Handle: RePEc:ebl:ecbull:eb-06aa0023
    as

    Download full text from publisher

    File URL: http://www.accessecon.com/pubs/EB/2006/Volume28/EB-06AA0023A.pdf
    Download Restriction: no
    ---><---

    Other versions of this item:

    References listed on IDEAS

    as
    1. Abdelkrim Araar, 2006. "On the Decomposition of the Gini Coefficient: an Exact Approach, with an Illustration Using Cameroonian Data," Cahiers de recherche 0602, CIRPEE.
    2. Fields, Gary S, 1989. "Changes in Poverty and Inequality in Developing Countries," The World Bank Research Observer, World Bank, vol. 4(2), pages 167-185, July.
    3. Deininger, Klaus & Squire, Lyn, 1998. "New ways of looking at old issues: inequality and growth," Journal of Development Economics, Elsevier, vol. 57(2), pages 259-287.
    4. Lambert, Peter J & Aronson, J Richard, 1993. "Inequality Decomposition Analysis and the Gini Coefficient Revisited," Economic Journal, Royal Economic Society, vol. 103(420), pages 1221-1227, September.
    5. Shlomo Yitzhaki, 1979. "Relative Deprivation and the Gini Coefficient," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 93(2), pages 321-324.
    6. Ravallion, Martin & Datt, Gaurav, 2002. "Why has economic growth been more pro-poor in some states of India than others?," Journal of Development Economics, Elsevier, vol. 68(2), pages 381-400, August.
    7. Ravallion, Martin & Chen, Shaohua, 1997. "What Can New Survey Data Tell Us about Recent Changes in Distribution and Poverty?," The World Bank Economic Review, World Bank, vol. 11(2), pages 357-382, May.
    8. Son, Hyun Hwa, 2004. "A note on pro-poor growth," Economics Letters, Elsevier, vol. 82(3), pages 307-314, March.
    9. Martin Feldstein, 1998. "Income Inequality and Poverty," NBER Working Papers 6770, National Bureau of Economic Research, Inc.
    10. John D. Hey & Peter J. Lambert, 1980. "Relative Deprivation and the Gini Coefficient: Comment," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 95(3), pages 567-573.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Abdelkrim Araar, 2008. "On the Decomposition of Polarization Indices: Illustrations with Chinese and Nigerian Household Surveys," Cahiers de recherche 0806, CIRPEE.
    2. Xiaohua Li & Yaohui Zhao & Lili Lu, 2008. "Effects of Education on Earnings Inequality in Urban China: 1988-2003," Working Papers PMMA 2008-09, PEP-PMMA.
    3. Boniface Ngah Epo & Francis Menjo Baye, 2016. "Decomposing Poverty-Inequality Linkages Of Sources Of Deprivation By Men-Headed And Women-Headed Households In Cameroon," Journal of Economic Development, Chung-Ang Unviersity, Department of Economics, vol. 41(1), pages 57-79, March.
    4. Abdelkrim Araar, 2008. "Social Classes, Inequality and Redistributive Policies in Canada," Cahiers de recherche 0817, CIRPEE.
    5. Utpal Kumar De & Loitongbam Hena Devi, 2023. "Inequality Dynamics in Urban Manipur, India: A Decomposition Analysis," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 167(1), pages 67-89, June.
    6. Tripathi, Sabyasachi, 2012. "Does higher economic growth reduce poverty and increase inequality: Evidence from urban India," Working Papers 289, Institute for Social and Economic Change, Bangalore.
    7. Abdelkrim Araar & Jean-Yves Duclos, 2007. "Poverty and Inequality Components: a Micro Framework," Cahiers de recherche 0735, CIRPEE.
    8. Oluwakemi Adeola Obayelu, 2014. "Spatial Decomposition Of Poverty In Rural Nigeria: Shapley Decomposition Approach," Journal of Economic Development, Chung-Ang Unviersity, Department of Economics, vol. 39(4), pages 77-97, December.
    9. Jude Okechukwu Chukwu, 2019. "Poverty Impact of Variations in Within-group and Between-group Inequality in Nigeria: New Estimates Using Two Household Survey Data," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 141(2), pages 539-549, January.
    10. Jude Okechukwu Chukwu, 2017. "Estimating Inequality Semi-elasticity of Poverty Reduction in Nigeria," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 131(3), pages 1087-1101, April.

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Abdelkrim Araar, 2008. "On the Decomposition of Polarization Indices: Illustrations with Chinese and Nigerian Household Surveys," Cahiers de recherche 0806, CIRPEE.
    2. Vincenzo Lombardo, 2011. "Growth and Inequality Effects on Poverty Reduction in Italy," Rivista italiana degli economisti, Società editrice il Mulino, issue 2, pages 241-280.
    3. Ravallion, Martin, 2001. "Growth, Inequality and Poverty: Looking Beyond Averages," World Development, Elsevier, vol. 29(11), pages 1803-1815, November.
    4. Juan Gabriel Rodríguez, 2004. "Measuring polarization, inequality, welfare and poverty," Economic Working Papers at Centro de Estudios Andaluces E2004/75, Centro de Estudios Andaluces.
    5. Guilherme Mendes Resende, 2008. "O crescimento econômico dos municípios mineiros tem sido pró-pobre? Uma análise para o período 1991-2000 [Has economic growth in the municipalities of Minas Gerais been pro-poor? An analysis for the p," Nova Economia, Economics Department, Universidade Federal de Minas Gerais (Brazil), vol. 18(1), pages 119-154, January-A.
    6. Abdelkrim Araar & Jean-Yves Duclos, 2007. "Poverty and Inequality Components: a Micro Framework," Cahiers de recherche 0735, CIRPEE.
    7. Bourguignon, Francois, 2005. "The Effect of Economic Growth on Social Structures," Handbook of Economic Growth, in: Philippe Aghion & Steven Durlauf (ed.), Handbook of Economic Growth, edition 1, volume 1, chapter 27, pages 1701-1747, Elsevier.
    8. Ferreira , Francisco H. G., 2010. "Distributions in motion: economic growth, inequality, and poverty dynamics," Policy Research Working Paper Series 5424, The World Bank.
    9. Sorger, Gerhard & Stark, Oded, 2013. "Income redistribution going awry: The reversal power of the concern for relative deprivation," Journal of Economic Behavior & Organization, Elsevier, vol. 86(C), pages 1-9.
    10. Cuong V. Nguyen & Nguyet M. Pham, 2018. "Economic growth, inequality, and poverty in Vietnam," Asian-Pacific Economic Literature, The Crawford School, The Australian National University, vol. 32(1), pages 45-58, May.
    11. Duclos, Jean-Yves & Jalbert, Vincent & Araar, Abdelkrim, 2000. "Classical Horizontal Inequity and Reranking: an Integrated Approach," Cahiers de recherche 0002, Université Laval - Département d'économique.
    12. Duclos, J.Y., 1995. "Relative Performance, Relative Deprivation and Generalised Gini Indices of Inequality and Horizontal Inequity," Papers 9514, Laval - Recherche en Politique Economique.
    13. Sara Lelli, 2004. "What Money Can't Buy: The Relevance of Income Redistribution for Functioning Levels," WIDER Working Paper Series RP2004-41, World Institute for Development Economic Research (UNU-WIDER).
    14. Ravallion, Martin, 1997. "Can high-inequality developing countries escape absolute poverty?," Economics Letters, Elsevier, vol. 56(1), pages 51-57, September.
    15. Antonio Abatemarco, 2010. "Measuring inequality of opportunity through between-group inequality components," The Journal of Economic Inequality, Springer;Society for the Study of Economic Inequality, vol. 8(4), pages 475-490, December.
    16. Abdelkrim Araar & Jean‐Yves Duclos & Mathieu Audet & Paul Makdissi, 2009. "Testing For Pro‐Poorness Of Growth, With An Application To Mexico," Review of Income and Wealth, International Association for Research in Income and Wealth, vol. 55(4), pages 853-881, December.
    17. Ali, Safdar & Ahmad, Khalil & Ali, Amjad, 2019. "Does Decomposition of GDP Growth Matter for the Poor? Empirical Evidence from Pakistan," MPRA Paper 95666, University Library of Munich, Germany.
    18. Edward Anderson & Lucio Esposito, 2014. "On the joint evaluation of absolute and relative deprivation," The Journal of Economic Inequality, Springer;Society for the Study of Economic Inequality, vol. 12(3), pages 411-428, September.
    19. Jean-Yves Duclos, 2009. "What is “Pro-Poor”?," Social Choice and Welfare, Springer;The Society for Social Choice and Welfare, vol. 32(1), pages 37-58, January.
    20. Wodon, Quentin T., 1999. "Growth, poverty, and inequality : a regional panel for Bangladesh," Policy Research Working Paper Series 2072, The World Bank.

    More about this item

    JEL classification:

    • D6 - Microeconomics - - Welfare Economics

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:ebl:ecbull:eb-06aa0023. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: John P. Conley (email available below). General contact details of provider: .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.