The Relationship Among Poverty, Economic Growth, and Inequality Revisited

Lonnie Stevans and David N. Sessions
Additional contact information
David N. Sessions: Zarb School of Business

Journal of Income Distribution, 2008, vol. 17, issue 1, 5-20

Abstract: It has been shown in prior research that increased economic growth reduces poverty. Authors have also found that the effect of growth in Gross Domestic Product (GDP) on poverty growth has either diminished or remained unchanged over time, and economic expansion in the 1980s in the United States had no affect on poverty. Using a formal error-correction model, we find that increases in economic growth are significantly related to reductions in the poverty rate for all families. Specifically, GDP growth was found to have a more pronounced effect on poverty during the expansionary periods of the 1960s, 1970s, 1980s, 1990s, and 2000s. Other findings include identification of determinants of the dynamic behavior of poverty rates both in the yearto-year periods and over the long run.

Keywords: poverty; economic growth; income inequality; error-correction; cointegration (search for similar items in EconPapers)
JEL-codes: C32 I32 O40 (search for similar items in EconPapers)
Date: 2008
References: Add references at CitEc
Citations: View citations in EconPapers (3)

Downloads: (external link)
http://jid.journals.yorku.ca/index.php/jid/article/view/15292 (application/pdf)
Some fulltext downloads are only available to subscribers. See JID website for details.

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:jid:journl:y:2008:v:17:i:1:p:5-20

Access Statistics for this article

More articles in Journal of Income Distribution from Ad libros publications inc. Contact information at EDIRC.
Bibliographic data for series maintained by Timm Boenke ( this e-mail address is bad, please contact ).