The Impact of Foreign Remittances and Financial Development on Poverty and Income Inequality in Pakistan

• 발행기관: 한국유통과학회
• 저자명: Rizwana Kousar Syed Imran Rais Abdul Mansoor Khalid Zaman Syed Tahir Hussain Shah Shakira Ejaz
• 간행물 정보: 『The Journal of Asian Finance, Economics and Business(JAFEB)』Vol. 6 No.1, 71~81쪽, 전체 11쪽
• 주제분류: 경제경영 > 경제학
• 파일형태: PDF
• 발행일자: 2019.01.31

영문 초록

The objective of the study is to examine the impact of financial development and foreign remittances on poverty and income inequality in the context of Pakistan. The study used ARDL-Bounds testing approach for robust inferences. The results show that in the short-run, remittances increases poverty and income inequality, which further translated into its long-run impact. The result confirmed the inverted Ushaped relationship between per capita income and income inequality, while the second order coefficient of per capita income substantially decline poverty incidence in a country. In the long-run, the results disappeared and it’s turned into U-shaped relationship between income inequality and country’s per capita income. Education largely decreases income inequality both in the short and long-run, however, it increases poverty in the long-run. Unemployment rate substantially damaged the pro-poor growth scenario, as high unemployment rate increases both the poverty rates and income inequality, which suffered poor more than non-poor in a country. Financial development has a positive impact on poverty reduction and income inequality in the short-run. The impact of income inequality on poverty incidence is positive both in the short- and long-run, which need pro-poor growth policies and rationale income distribution in a country.

목차

1. Introduction

2. Review of Literature

3. Data Source and Methodological Framework

4. Results and Discussions

5. Conclusions and Recommendations

References

키워드

Foreign Remittances Financial Development Poverty Income Inequality Pakistan