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Bridging the divide: Growth, inequality, and poverty dynamics in Italy

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  • Michele Fabiani

    (eCampus University)

Abstract

Using SHIW microdata and ISTAT poverty thresholds, this study applies the Datt–Ravallion decomposition to evaluate how growth and redistribution shaped absolute poverty in Italy between 2014 and 2022. Growth substantially reduced poverty, but its impact was weakened by persistent inequality and significant regional asymmetries. Northern regions benefited most from growth-driven reductions, while the South and Islands depended more on redistribution. The analysis underscores that addressing structural disparities is essential for enhancing the poverty-reducing effect of growth and for designing effective, region-sensitive anti-poverty strategies.

Suggested Citation

  • Michele Fabiani, 2025. "Bridging the divide: Growth, inequality, and poverty dynamics in Italy," Economics Bulletin, AccessEcon, vol. 45(4), pages 2129-2137.
    • Handle: RePEc:ebl:ecbull:eb-26-00027
    as

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    References listed on IDEAS

    as
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    Full references (including those not matched with items on IDEAS)

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    Keywords

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    JEL classification:

    • D3 - Microeconomics - - Distribution
    • O4 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity

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