When Does Economic Growth Reduce Poverty and Strengthen the Middle Class? A State‐Level, Sector‐Specific Analysis of Peru.
Using novel state‐level data of Peru from 1997 to 2010, we investigate how growth in different sectors affects poverty rates and the middle class. Our results indicate that only the manufacturing sector seems to robustly decrease poverty. Growth in the service sector emerges as a meaningful predicto...
| Published in: | Southern Economic Journal Vol. 84; no. 4; pp. 1067 - 1088 |
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| Main Authors: | , , |
| Format: | Article |
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Wiley-Blackwell
Apr2018
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| Subjects: | |
| Online Access: | View this record in EBSCOhost |
| fields | @attributes: recordID: 1 pdfLink: plink: https://search.ebscohost.com/login.aspx?direct=true&db=ssf&AN=129078712&site=ehost-live header: @attributes: shortDbName: ssf uiTerm: 129078712 longDbName: Social Sciences Full Text (H.W. Wilson) uiTag: AN controlInfo: bkinfo: jinfo: jid: 00384038 SEJ jtl: Southern Economic Journal issn: 00384038 maglogo: N pubinfo: dt: Apr2018 vid: 84 iid: 4 pid: 480 pub: Wiley-Blackwell artinfo: ui: 129078712 10.1002/soej.12268 ppf: 1067 ppct: 21 formats: fmt: – @attributes: type: T – @attributes: type: P size: 204KB tig: atl: When Does Economic Growth Reduce Poverty and Strengthen the Middle Class? A State‐Level, Sector‐Specific Analysis of Peru. aug: au: Canavire‐Bacarreza, Gustavo Jetter, Michael Robles, Marcos su: Economic development Poverty Middle class Manufacturing industries Regional differences sug: subj: Economic development Poverty Middle class Manufacturing industries Regional differences keyword: C23 D63 I32 O41 C23 D63 I32 O41 ab: Using novel state‐level data of Peru from 1997 to 2010, we investigate how growth in different sectors affects poverty rates and the middle class. Our results indicate that only the manufacturing sector seems to robustly decrease poverty. Growth in the service sector emerges as a meaningful predictor of a rising middle class. Allowing for regional differences, we find substantial variation across the 25 Peruvian states with large shifts in magnitudes, signs, and statistical importance. Beyond the immediate implications for Peru, these findings highlight the importance of analyzing the link between economic performance and poverty rates on a subnational level. Policy implications are likely to differ substantially, depending on the source of economic growth and regional particularities. pubtype: Academic Journal doctype: Article src: R language: English refInfo: copyright: @attributes: flag: N holdings: @attributes: islocal: N |
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