A spatial analysis of how growth and inequality affect poverty in Brazil
Abstract This research seeks to analyze the impacts of economic growth and income inequality on Brazilian states’ urban and rural poverty, considering the effects of the initial levels of development and inequality. The elasticities of income and inequality of poverty were calculated through a dynam...
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| Format: | Article |
| Language: | English |
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Fundação Getúlio Vargas
2021-05-01
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| Series: | Revista de Administração Pública |
| Subjects: | |
| Online Access: | http://www.scielo.br/scielo.php?script=sci_arttext&pid=S0034-76122021000200459&tlng=pt |
| _version_ | 1819284839643217920 |
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| author | Helson Gomes de Souza Francisco José Silva Tabosa Jair Andrade de Araújo Pablo Urano de Carvalho Castelar |
| author_facet | Helson Gomes de Souza Francisco José Silva Tabosa Jair Andrade de Araújo Pablo Urano de Carvalho Castelar |
| author_sort | Helson Gomes de Souza |
| collection | DOAJ |
| description | Abstract This research seeks to analyze the impacts of economic growth and income inequality on Brazilian states’ urban and rural poverty, considering the effects of the initial levels of development and inequality. The elasticities of income and inequality of poverty were calculated through a dynamic spatial panel, using an adaptation of the approach developed by Kalwij and Verschoor (2004), and data from 2004 to 2014. Incorporating the spatial factor allows us to capture the effects of the geographical location on local poverty. The results suggest that a poverty reduction occurs more intensely when associated with reductions in the inequality levels. Income elasticities were greater (in absolute terms) in rural areas, while the inequality elasticities were greater in the urban area estimates. The growing trend of the inequality elasticity and the decreasing trend of the income elasticity suggest a positive trend of economic growth and a negative trend of poverty. Likewise, if the reduction in inequality shows a negative trend, the absolute value of poverty will decrease. Thus, a public policy to combat poverty through economic growth or reducing inequalities applied to the urban or rural environment would obtain more efficient results if applied in the long term. |
| first_indexed | 2024-12-24T01:53:45Z |
| format | Article |
| id | doaj.art-a88ca1cafa374e40b2f37a358b82b2d9 |
| institution | Directory Open Access Journal |
| issn | 0034-7612 |
| language | English |
| last_indexed | 2024-12-24T01:53:45Z |
| publishDate | 2021-05-01 |
| publisher | Fundação Getúlio Vargas |
| record_format | Article |
| series | Revista de Administração Pública |
| spelling | doaj.art-a88ca1cafa374e40b2f37a358b82b2d92022-12-21T17:21:39ZengFundação Getúlio VargasRevista de Administração Pública0034-76122021-05-0155245948210.1590/0034-761220190349A spatial analysis of how growth and inequality affect poverty in BrazilHelson Gomes de Souzahttps://orcid.org/0000-0001-7873-3798Francisco José Silva Tabosahttps://orcid.org/0000-0003-1280-8907Jair Andrade de Araújohttps://orcid.org/0000-0001-6297-9558Pablo Urano de Carvalho Castelarhttps://orcid.org/0000-0001-9990-7873Abstract This research seeks to analyze the impacts of economic growth and income inequality on Brazilian states’ urban and rural poverty, considering the effects of the initial levels of development and inequality. The elasticities of income and inequality of poverty were calculated through a dynamic spatial panel, using an adaptation of the approach developed by Kalwij and Verschoor (2004), and data from 2004 to 2014. Incorporating the spatial factor allows us to capture the effects of the geographical location on local poverty. The results suggest that a poverty reduction occurs more intensely when associated with reductions in the inequality levels. Income elasticities were greater (in absolute terms) in rural areas, while the inequality elasticities were greater in the urban area estimates. The growing trend of the inequality elasticity and the decreasing trend of the income elasticity suggest a positive trend of economic growth and a negative trend of poverty. Likewise, if the reduction in inequality shows a negative trend, the absolute value of poverty will decrease. Thus, a public policy to combat poverty through economic growth or reducing inequalities applied to the urban or rural environment would obtain more efficient results if applied in the long term.http://www.scielo.br/scielo.php?script=sci_arttext&pid=S0034-76122021000200459&tlng=ptgrowthinequalitypovertyspatial dynamic panelBrazil |
| spellingShingle | Helson Gomes de Souza Francisco José Silva Tabosa Jair Andrade de Araújo Pablo Urano de Carvalho Castelar A spatial analysis of how growth and inequality affect poverty in Brazil Revista de Administração Pública growth inequality poverty spatial dynamic panel Brazil |
| title | A spatial analysis of how growth and inequality affect poverty in Brazil |
| title_full | A spatial analysis of how growth and inequality affect poverty in Brazil |
| title_fullStr | A spatial analysis of how growth and inequality affect poverty in Brazil |
| title_full_unstemmed | A spatial analysis of how growth and inequality affect poverty in Brazil |
| title_short | A spatial analysis of how growth and inequality affect poverty in Brazil |
| title_sort | spatial analysis of how growth and inequality affect poverty in brazil |
| topic | growth inequality poverty spatial dynamic panel Brazil |
| url | http://www.scielo.br/scielo.php?script=sci_arttext&pid=S0034-76122021000200459&tlng=pt |
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