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The International Dimension of Poverty

In: The Dynamics of Poverty

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  • Mats Lundahl

    (Stockholm School of Economics)

Abstract

This chapter tells the story of how Gunnar Myrdal during his decade as executive secretary of the newly established United Nations Economic Commission for Europe (ECE) in Geneva between 1947 and 1958 turned to the analysis of poverty in an international perspective, in three major works, An International Economy, Development and Under-Development, usually referred to as his Cairo lectures, and Economic Theory and Under-Developed Regions. In these Myrdal relates the issue of domestic inequalities to that of inequalities on the international level. He investigates how the progress of certain regions tends to generate backwash effects which serve to lower the living standards in other regions in a cumulative fashion and how the same mechanism operates on the international level. Instead of leading to factor price equalization, trade serves to set off cumulative effects which lead to increasing income disparities between nations.

Suggested Citation

  • Mats Lundahl, 2021. "The International Dimension of Poverty," Palgrave Studies in the History of Economic Thought, in: The Dynamics of Poverty, chapter 0, pages 77-99, Palgrave Macmillan.
  • Handle: RePEc:pal:pshchp:978-3-030-73347-6_5
    DOI: 10.1007/978-3-030-73347-6_5
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