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Pro-poor growth and pro-poor convergence across countries


  • Jalal El ouardighi


In this paper, we examine the link between the concepts of income convergence and pro-poor growth in a panel of countries. We show that if growth is pro-poor, then the convergence which occurs is a ‘pro-poor convergence’, because it necessarily implies a fall in income inequality. The empirical analysis uses the data on GDP per capita of 15 European countries for the period 1950-2005. Although the long-run shows pro-poor growth and convergence, the results stress that there are differences in such patterns across periods. Thus, the sub-period 1950-1973 exhibits an unambiguously pro-poor growth and convergence process in the European Union. In contrast, the 1974-2005 sub-period points out two phenomena: neither convergence nor divergence (1974-1992), and a neutral process of growth, i.e., income and inequality converge at the same speed (1993-2005). In the light of these findings, one can question the positive effects of European integration and the effectiveness of the economic and social cohesion policies.

Suggested Citation

  • Jalal El ouardighi, 2008. "Pro-poor growth and pro-poor convergence across countries," Working Papers of BETA 2008-17, Bureau d'Economie Théorique et Appliquée, UDS, Strasbourg.
  • Handle: RePEc:ulp:sbbeta:2008-17

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    More about this item


    Pro-poor Growth; Pro-poor Convergence ; Income Inequality ; European Countries.;

    JEL classification:

    • C23 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Models with Panel Data; Spatio-temporal Models
    • O47 - Economic Development, Innovation, Technological Change, and Growth - - Economic Growth and Aggregate Productivity - - - Empirical Studies of Economic Growth; Aggregate Productivity; Cross-Country Output Convergence
    • O52 - Economic Development, Innovation, Technological Change, and Growth - - Economywide Country Studies - - - Europe


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