The Article ' Halving Global Poverty? By Timothy Besley And Robin Burgess

736 Words Jun 22nd, 2016 3 Pages
The main goal to the article ?Halving global poverty? by Timothy Besley and Robin Burgess (2003) is to reduce in half the proportion of the poor, whose living is below $1-per-day poverty line, of the developing world?s population in the period of 1990 to 2015. In order to achieve this goal, Besley and Burgess (2003) focus on two major objectives in this paper. This paper starts by summarize the empirical research on poverty, based on historical data in the last decades. They then discuss agendas for the reduction of global poverty.

On the one hand, the authors analyze the poverty index and income per capita using the elasticity of poverty with respect to income per capita, in order to study the relationship between economic growth and poverty. The results show that there is a strong negative relationship between poverty and income growth rate; that is to say, as income per capita increases, poverty falls accordingly. On the other hand, Besley and Burgess (2003) also add a measure of income inequality to the previous analysis, to examine whether changes in inequality is correlated to poverty, along with change in income per capita. Nevertheless, these results provide confirmatory evidence that there is a positive and significant relationship between these two variables; in other words, the wider the gap between the rich and the poor, the deeper the poor fall into poverty. Based on the analysis between economic growth, inequality and poverty, Besley and Burgess (2003)…

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