Globalization, Growth, and the Poor

T. Srinivasan and Jessica Wallack ()

De Economist, 2004, vol. 152, issue 2, 272 pages

Abstract: This paper discusses the possible causal relationships and empirical associations between globalization and growth, growth and poverty reduction, and, finally, globalization and poverty reduction. We argue that globalization can contribute much to poverty reduction both directly and by accelerating growth. Second, the contributions of redistributive policies are very likely to be less than the contribution of greater access to markets, more competitive insurance and financial markets, and improved institutions to poverty reduction. The potential effect of greater international integration on poverty reduction, however, is limited by domestic policy failures in developing countries and also by continued protectionism, particularly in developed countries.

Date: 2004
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