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Economic Reforms and the Poor


  • Strauss, Tove

    (Trade Union Institute for Economic Research)


This paper analyzes the effects of economic reforms for different income groups. My interest is spurred by the international debate on the social consequences of reforms and the potential adverse effects on poverty in particular. I find that the poor are in general positively affected by trade reforms, inflationary control, and structural reforms, while government consumption reduction affects the poorest income quintile negatively. In countries having undertaken World Bank financed reforms actual income of the poor was higher than predicted. Moreover, as the impact of reforms was strongest on the poor, World Bank support appears to reduce income inequality.

Suggested Citation

  • Strauss, Tove, 2000. "Economic Reforms and the Poor," Working Paper Series 164, Trade Union Institute for Economic Research.
  • Handle: RePEc:hhs:fiefwp:0164

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    References listed on IDEAS

    1. Lundborg, Per & Segerstrom, Paul S., 2002. "The growth and welfare effects of international mass migration," Journal of International Economics, Elsevier, vol. 56(1), pages 177-204, January.
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    3. Gustavsson, Patrik & Nordström, Jonas, 1999. "The Impact of Seasonal Unit Roots and Vector ARMA Modeling on Forecasting Monthly Tourism Flows," Working Paper Series 150, Trade Union Institute for Economic Research, revised 01 Jul 2000.
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    5. Erixon, Lennart, 2000. "The 'Third Way' Revisited. A Revaluation of the Swedish Model in the Light of Modern Economics," Working Paper Series 159, Trade Union Institute for Economic Research.
    6. Antelius, Jesper, 2000. "Sheepskin Effects in the Returns to Education: Evidence on Swedish Data," Working Paper Series 158, Trade Union Institute for Economic Research.
    7. Lundborg, Per, 1999. "Work Morale and Economic Growth," Working Paper Series 153, Trade Union Institute for Economic Research.
    8. Jesper Antelius & Lars Lundberg, 2003. "Competition, Market Structure and Job Turnover," Journal of Industry, Competition and Trade, Springer, vol. 3(3), pages 211-226, September.
    9. Hansson, Par, 2000. "Relative Demand for Skills in Swedish Manufacturing: Technology or Trade?," Review of International Economics, Wiley Blackwell, vol. 8(3), pages 533-555, August.
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    Cited by:

    1. Arai, Mahmood & Thoursie, Peter Skogman, 2005. "Incentives and selection in cyclical absenteeism," Labour Economics, Elsevier, vol. 12(2), pages 269-280, April.
    2. Strauss, Tove, 2000. "Structural Reforms, Uncertainty, and Private Investment," Working Paper Series 165, Trade Union Institute for Economic Research.

    More about this item


    Economic reform; Poverty; Income distribution; the World Bank;

    JEL classification:

    • C23 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Models with Panel Data; Spatio-temporal Models
    • E65 - Macroeconomics and Monetary Economics - - Macroeconomic Policy, Macroeconomic Aspects of Public Finance, and General Outlook - - - Studies of Particular Policy Episodes
    • O11 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Macroeconomic Analyses of Economic Development
    • O15 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Economic Development: Human Resources; Human Development; Income Distribution; Migration
    • O19 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - International Linkages to Development; Role of International Organizations


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