The Impact of Globalization on Human Poverty Index (HPI)

Samad Hekmati Farid (), Khalil Jahangiri () and Omid Moradkhani ()
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Samad Hekmati Farid: Assistant Professor of Economics, Urmia University
Khalil Jahangiri: Assistant Professor of Economics, Urmia University
Omid Moradkhani: M.A Student of Economics, Urmia University

Quarterly Journal of Applied Theories of Economics, 2015, vol. 2, issue 2, 61-80

Abstract: The impact of Globalization on poverty is controversial issue in globalization literature. The survey in the economist ideas shows that there isn't unique idea about the impact of globalization on poverty. Some economists believe that globalization have the positive and some others believe that globalization have the negative impact on poverty. Considering the importance of this issue, this paper evaluates the effects of globalization on Human Poverty Index (HPI) in countries by high Human Developed Index (including Iran) for the 2000-2012 period by using dynamic panel data techniques (GMM method). In this study, two variables from heritage data-set (trade freedom and property rights) and two variables from Worldwide Governance Indicators (government effectiveness and control of corruption), together with inflation, real GNP per-capita and rural population are the explanatory variables. The research findings indicate that trade freedom, property rights, government effectiveness, control of corruption, real GNP per-capita have the negative and significant impact on HPI. Also inflation and rural population percent have the positive and significant impact on HPI.

Keywords: Globalization; HPI; Human Poverty; GMM; trade freedom. (search for similar items in EconPapers)
JEL-codes: F13 I38 O24 (search for similar items in EconPapers)
Date: 2015
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