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Economic Growth and Poverty in the United States

Author

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  • John P. Formby
  • Gary A. Hoover
  • Hoseong Kim

Abstract

This paper estimates the income gap rations and Gini coefficients of poor Americans and combines them with official U.S. government poverty statistics to create a new time series of Sen indices of poverty. The effects of growth and other determinants of aggregate poverty are investigated for the period of 1961-1996. Holding other determinants of poverty constant, the results indicate that economic growth affects the Sen index and official U.S. government poverty statistics in essentially the same manner across time. The long economic expansion following the recession of 1981-1982 had much smaller poverty reducing effects than the expansion of the 1960s.

Suggested Citation

  • John P. Formby & Gary A. Hoover & Hoseong Kim, 2001. "Economic Growth and Poverty in the United States," Journal of Income Distribution, Ad libros publications inc., vol. 10(3-4), pages 1-1, September.
    • Handle: RePEc:jid:journl:y:2001:v:10:i:3-4:p:1-1
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    File URL: http://jid.journals.yorku.ca/index.php/jid/article/view/1285
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    Citations

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    Cited by:

    1. Dierk HERZER & Rainer KLUMP, 2009. "Poverty, Government Transfers, And The Business Cycle: Evidence For The United States," Applied Econometrics and International Development, Euro-American Association of Economic Development, vol. 9(2).
    2. Miguel Sanchez-Martinez & Philip Davis, 2014. "A review of the economic theories of poverty," National Institute of Economic and Social Research (NIESR) Discussion Papers 435, National Institute of Economic and Social Research.
    3. Ross Gittell & Jeffrey Sohl & Edinaldo Tebaldi, 2014. "Do Entrepreneurship and High-Tech Concentration Create Jobs? Exploring the Growth in Employment in U.S. Metropolitan Areas From 1991 to 2007," Economic Development Quarterly, , vol. 28(3), pages 244-253, August.
    4. Christopher Johnson, 2007. "A Re-count of Poverty in US Central Cities: Just Who and Where Are the Urban Poor?," Urban Studies, Urban Studies Journal Limited, vol. 44(12), pages 2283-2303, November.
    5. Lonnie K. Stevans & David N. Sessions, 2005. "The Relationship Between Poverty, Economic Growth, and Inequality Revisited," GE, Growth, Math methods 0502002, University Library of Munich, Germany.
    6. Marinho, Emerson & Araújo, Jair, 2010. "Pobreza e o Sistema de Seguridade Social Rural no Brasil," Revista Brasileira de Economia - RBE, EPGE Brazilian School of Economics and Finance - FGV EPGE (Brazil), vol. 64(2), June.
    7. Marinho, Emerson & Linhares, Fabricio & Campelo, Guaracyane, 2011. "Os Programas de Transferência de Renda do Governo Impactam a Pobreza no Brasil?," Revista Brasileira de Economia - RBE, EPGE Brazilian School of Economics and Finance - FGV EPGE (Brazil), vol. 65(3), September.

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