Price Levels and Poverty Nexus: A Case Study of Pakistan
DOI:
https://doi.org/10.26710/reads.v5i4.915Keywords:
Price Levels, Poverty, Pakistan, ARDLAbstract
The study has examined the relationship between price levels and poverty over the period of 1982-2015 in Pakistan by employing Auto Regressive Distributed Lag Model (ARDL). It is the pioneer empirical study on the topic in Pakistan. The study has revealed mixed findings between the price levels and poverty both at aggregated and disaggregated levels. The study has also suggested policies to reduce poverty according to the various price levels investigated in the assorted models.
References
Achdut, A. and Bigman, D.(1991). The Anatomy of Changes in Poverty and Income Inequality under Rapid Inflation: Israel 1979-1984.Structural Change and Economic Dynamics.2 (1), 229-243.
Belongia, M.T. (1985).The Impact of Inflation on the Real Income of U.S. Farmers. American Journal of Agricultural Economics. 67(2), 398-399.
Boskin, M.J., Dulberger, E.R., Gordon, R.J., Griliches, Z. and Jorgenson, D.W. (1998).Consumer Prices, the Consumer Price Index, and Cost of Living.Journal of Economic Prospective. 12(1), 3-26.
Boskin, M.J., Dulberger, E.R., Gordon, R.J., Griliches, Z. and Jorgenson, D.W. (1998).Consumer Prices, the Consumer Price Index, and Cost of Living.Journal of Economic Prospective. 12(1), 3-26.
Cardoso, E.(1992).Inflation and Poverty. National Bureau of Economic Research Working Paper No: 4006, Cambridge.
Chaudhary, M.A and Ahmad, N. (1996).Sources and Impacts of Inflation in Pakistan.Pakistan Economic and Social Review. 37(01), 21-39.
Coleman, S. (2012). Where Does the Axe Fall? Inflation Dynamics and Poverty Rates: Regional and Sectoral Evidence for Ghana. World Development. 40(12), 2454-2467.
Deaton, A. and Dreze, J. (2002). Poverty and Inequality in India: A Re-Examination. Economic and Political Weekly. 37(36), 3729-3748.
Desai, R.M. and Olofsgard, A.2003.Democracy Inequality and Inflation.American Political Review. 97(03), 391-406.
Easterly, W. and Fisher, S. (2001). Inflation and the Poor.Journal of Money Credit and Banking. 33(02), 140-170.
Estrades, C. and Terra, M.I. (2012).Commodity Prices, Trade and Poverty in Uruguay. Food Policy.37, 58-66.
Fuji, T. (2013).Impact of Food Inflation on Poverty in Philippines. Food Policy.39, 13-27.
Garner, T.I., Johnson, D.S. and Kokoski, M.F. (1996). An Experimental Consumer Price Index for Poor. Monthly Labour Review.4, 32-42.
Hendrickson, E., and Kydland, F.E, (2010).Endogenous Money, Inflation and Welfare. Review of Economic Dynamics.13, 470-486.
Levisohn, J.A., Berry, S.T. and Friedman, J. (2003).Impact of Indonesian Economic Crisis.Price Changes and Poor.National Bureau of Economic Research.
Loayza, N. and Rigolini, J. (2016). The Local Impact of Mining on Poverty and Inequality: Evidence from the Commodity Boom in Peru. World Development. 84, 219-234.
Lyssiotou, P. (2008). Comparison of Poverty across Periods: Significance of Distributional Effects of Prices. Economic Letters.99, 14-17.
Moncarz, P., Barone, S., Calfat, G. and Descalzi, R. (2016). Poverty Impacts of Changes in the International Prices of Agricultural Commodities: Recent Evidence for Argentina (An Ex-Ante Analysis). The Journal of Development Studies.10, 01-22.
Moser.M. and Schnetzer, M. (2017). The income–inequality nexus in a developed country: small-scale regional evidence from Austria. Regional Studies. ISSN: 0034-3404
Muhammad, A. A., Amir, M., & Amin, W. (2018). The Relationship between Poverty, Income Inequality and Unemployment: Evidence from ARDL and Bound Testing Approach. European Online Journal of Natural and Social Sciences, 7(1),42.
Newbery, D.M.(1995). The Distributional Impact of Price Changes in Hungary and United Kingdom.The Economic Journal. 105(431), 847-869.
Parkin.(2014). Macroeconomics.Pearson Publishers.
Powers, E. T. (1978). Inflation, Unemployment and Poverty Revisited. 2-13.
Ravallion, M.2000. Price, Wages, and Poverty in Rural India: What Lesson Do the Time Series Data Hold For Policy? Food Policy. 25, 351-364.
Son, H.H. and Kakwani, N. (2006).Measuring the Impact of Prices on Poverty. United Nation Development Program Working Paper No 33.
Son, H.H. and Kakwani, N.(2009). Measuring the Impact of Price Changes on Poverty.Journal of Economic Inequality. 7, 395-410.
Wodon, Q., Tsimpo, C., Yetna, C., Joseph, G., Adobo, F. and Coulombe, H. (2008).Potential Impact of Higher Food Prices on Poverty.World Bank Working Paper No. 4745.
Wood, B.D.K., Nelson, C.F. and Nogueira, L. (2012). Poverty Effects of Food Price Escalation: The Importance of Substitution Effects in Mexican Households. Food Policy.37, 77-85.