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The Impact of Globalization on Human Poverty Index (HPI)

Author

Listed:
  • Hekmati Farid , Samad

    () (Assistant Professor of Economics, Urmia University)

  • Jahangiri , Khalil

    () (Assistant Professor of Economics, Urmia University)

  • Moradkhani, Omid

    () (M.A Student of Economics, Urmia University)

Abstract

The impact of Globalization on poverty is controversial issue in globalization literature. The survey in the economist ideas shows that there isn't unique idea about the impact of globalization on poverty. Some economists believe that globalization have the positive and some others believe that globalization have the negative impact on poverty. Considering the importance of this issue, this paper evaluates the effects of globalization on Human Poverty Index (HPI) in countries by high Human Developed Index (including Iran) for the 2000-2012 period by using dynamic panel data techniques (GMM method). In this study, two variables from heritage data-set (trade freedom and property rights) and two variables from Worldwide Governance Indicators (government effectiveness and control of corruption), together with inflation, real GNP per-capita and rural population are the explanatory variables. The research findings indicate that trade freedom, property rights, government effectiveness, control of corruption, real GNP per-capita have the negative and significant impact on HPI. Also inflation and rural population percent have the positive and significant impact on HPI.

Suggested Citation

  • Hekmati Farid , Samad & Jahangiri , Khalil & Moradkhani, Omid, 2015. "The Impact of Globalization on Human Poverty Index (HPI)," Quarterly Journal of Applied Theories of Economics, Faculty of Economics, Management and Business, University of Tabriz, vol. 2(2), pages 61-80, September.
  • Handle: RePEc:ris:qjatoe:0012
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    More about this item

    Keywords

    Globalization; HPI; Human Poverty; GMM; trade freedom.;

    JEL classification:

    • F13 - International Economics - - Trade - - - Trade Policy; International Trade Organizations
    • I38 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty - - - Government Programs; Provision and Effects of Welfare Programs
    • O24 - Economic Development, Innovation, Technological Change, and Growth - - Development Planning and Policy - - - Trade Policy; Factor Movement; Foreign Exchange Policy

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