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Proo-poor growth modeling in developing countries: A Gini regression approach

Author

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  • Ndéné Ka

    (Université Alioune Diop de Bambey)

Abstract

The present study analyzes the relationship between poverty, growth, and income inequality in 24 developing countries. It takes a new empirical approach to analyze the effects of growth and inequality on poverty reduction. Mobilizing an unbalanced panel data over the period 2000–2007 and using the Gini fixed effect estimator to address endogeneity issues, selection bias, and error measurement the results suggest that income inequality and inflation negatively impact poverty reduction and there is a positive and robust relationship between growth and the logarithm of agricultural GDP per capital on poverty. Also, the results indicate that Gini methodology addressing the econometric shortcomings of OLS regression analysis may yield more precise results.

Suggested Citation

  • Ndéné Ka, 2021. "Proo-poor growth modeling in developing countries: A Gini regression approach," Economics Bulletin, AccessEcon, vol. 41(2), pages 316-327.
    • Handle: RePEc:ebl:ecbull:eb-20-00955
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    References listed on IDEAS

    as
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    JEL classification:

    • D3 - Microeconomics - - Distribution
    • C1 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods and Methodology: General

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