• Title/Summary/Keyword: Poverty Reduction

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Poverty in Korea, Why It Remains High?: Analysis of the Trend in Poverty since the 1990s (한국의 빈곤, 왜 감소하지 않는가? - 1990년대 이후 빈곤 추이의 분석 -)

  • Ku, In-Hoe
    • Korean Journal of Social Welfare
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    • v.56 no.4
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    • pp.57-78
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    • 2004
  • The economic crisis in $1997{\sim}1998$ caused massive unemployment and unprecedentedly increased the number of the poor in Korea. As many unemployed families fell into poverty, the poverty rate skyrocketed to higher than 10 percent. Not later than 2000, unemployment late got back to normal and real average income among urban households approached to the income level prior to the economic crisis. Although the economic crisis has been passed through, poverty was not decreased to the low level prior to the crisis by 2000. Why does it remain high? This study attempts to provide an answer to this question by analysing the poverty trend over the 1990s. Data come from the National Survey of Household Income and Expenditures 1991, 1996, and 20001. Results show that poverty was rapidly reduced in the first half period of the 1990s. This reduction in poverty is largely explained by steady and rapid economic growth. Modest improvement in income inequality also contributed. In contrast, the poverty rate considerably increased in the latter half of the 1990s. Average income was not fully recovered to its prior level, which reflected the economic crisis and the subsequent economic stagnation. Worsened income inequality led to higher poverty rate too. In addition, demographic changes increased the share of economically vulnerable types of families, such as families headed by single parents and the elderly. The most significant factor in explaining the higher poverty rate was extended income differential among non-elderly adults, while the next was the increased number of the elderly families. Yet, findings a little differ depending on which concepts of poverty to adopt. In the analyses based on the concept of absolute poverty, economic growth the most significantly affected the poverty trends in the 1999s. Changes in income inequality played the most important role in explaining the trend in relative poverty. Adopting the concepts of quasi-absolute poverty, which is preferred in this study, results show that rapid economic growth significantly reduced poverty in the first half of the 1990s and both worsened income inequality and stagnated economic growth increased poverty in the latter 1990s.

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Macroeconomic Growth and Poverty in Korea : Analysis of Urban Households in 1982-2004 (우리나라에서의 경제성장과 빈곤의 관계 : 1982-2004년 도시가구를 중심으로)

  • Lee, Sang-Eun
    • Korean Journal of Social Welfare
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    • v.58 no.3
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    • pp.245-268
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    • 2006
  • The purpose of this study is to investigate the empirical relation between economic growth and poverty in Korea. Especially, the focus is put on exploring if there are any changes in the relation of economic growth and poverty. From 1982-2004 Korea Urban Household Survey, I constructed the annual data of poverty rate. I also obtained the annual data of the real GDP and the unemployment rate from the National Statistical Office. Using these annal data of the poverty rate and the macroeconomic performance, I analyzed the relation of them. As the result, I found that the macroeconomic growth have played very important role in reducing the poverty rate in Korea. Since 2000, the macroeconomic growth have still worked as an effective instrument for poverty reduction. However, there have been poverty increase that has not been explained by the macroeconomic growth since 2000. Based on these results, this paper suggests that the anti-poverty strategy in Korea should be changed from the old strategy emphasizing only economic growth to the new strategy pursuing both economic growth and social security simultaneously.

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Comparative Study on Old-age Income Mix and Poverty Reduction Effects of Income transfer System for the Elderly (노후소득의 혼합구성과 이전소득의 빈곤감소효과에 관한 국제비교연구)

  • Kim, Jin Wook
    • 한국노년학
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    • v.31 no.1
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    • pp.111-127
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    • 2011
  • The study aims to analyse whether Korea and Taiwan have reduced the elderly poverty effectively through income transfer system in a comparative perspective. It covers 12 Western welfare states and 2 East Asian welfare states(korea and Taiwan). Utilising Luxembourg Income Study(LIS) datasets, empirical analyses focus on old-age income mix and poverty reduction effects of income transfer. Major findings are as follows. Frist, whilst public transfer income takes a major part in old-age income mix in Western welfare states, Korea and Taiwan reveal genuine mixed states - i.e., the relative proportion of private transfers and market income are high. Secondly, public transfers have effectively reduced the old-age poverty in Western welfare state. However, thirdly, those effects are still limited in Korea and Taiwan. Rather, the poverty reduction effects of private transfers are relatively high. Based on the empirical findings, the study suggests future research agendas and policy implications.

The Impact of Foreign Remittances and Financial Development on Poverty and Income Inequality in Pakistan: Evidence from ARDL - Bounds Testing Approach

  • Kousar, Rizwana;Rais, Syed Imran;Mansoor, Abdul;Zaman, Khalid;Shah, Syed Tahir Hussain;Ejaz, Shakira
    • The Journal of Asian Finance, Economics and Business
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    • v.6 no.1
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    • pp.71-81
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    • 2019
  • 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 U-shaped 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.

A Study on the Determinants of Poverty-Exit of the Working Poor with Disabilities (근로빈곤층 장애인가구의 빈곤탈출 분석)

  • Sim, Jinye
    • Korean Journal of Social Welfare
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    • v.67 no.4
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    • pp.31-50
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    • 2015
  • This study attempted to empirically investigate the determinants of poverty transition of the working poor with disabilities from a dynamic perspective. Analyses were conducted on the data from Panel Survey of Employment for the Disabled(PSED, Year 1-6), included the households with a disabled head of household. The working poor were defined as the household of which income fell below 120% of the absolute poverty line among the households just described. As results, The 6-year mean poverty rate for the working poor with disabilities included in the analysis was 31.4%, approximately three times of the poverty rate of the total population and the working poor with disabilities were found to have greater difficulty with poverty exit once having fell into poverty than all households living in poverty. And it was found that the economic activity factor was the key determinant of in-work poverty. In addition, employment of the working poor with disabilities did not lead straight to poverty exit, and the quality, rather than the status of, employment was the key determinant of poverty exit. The implications of the findings of this study are that it is essential to increase decent jobs, expand the social safety net of the working poor with disabilities and establish poverty reduction measures for each class of the working poor with disabilities to exit from poverty.

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Trends and Causes of Poverty among Urban Wage Earners' Households (도시 근로자 가구의 빈곤 추이(推移)와 원인에 관한 연구: 조세와 이전소득의 빈곤완화효과를 포함하여)

  • Kim, Kyo-Seong
    • Korean Journal of Social Welfare
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    • v.59 no.2
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    • pp.143-169
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    • 2007
  • The major purpose of this study was to offer a comprehensive analysis of the changing trends and causes of poverty among urban wage earners' households from 1995 to 2005. In order to do that, this study used the micro data of "Income and Expenditure Survey of Urban Households" by the National Statistical Office(NSO) and GEE(Generalized estimating equation) regression model which is know as an appropriate method for the longitudinal and clustering data. The results show that (1) the numbers of poverty rate and poverty gap in recent years are even getting seriously worse than those in the IMF crisis. (2) Main characteristics of poor are female headed, old aged, low educated households, and having atypical working position. (3) Major determinants of poverty are also related to the variables as mentioned the above. (4) However, poverty reduction effect of public transfer increased preferably in recent years.

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Institutional Dynamics of In-Work Poverty Determination: Distributive Process of Labor Markets, Households, and the Welfare State Using Korean Welfare Panel Study, 2008-15 (근로빈곤 결정의 제도 동학: 노동시장과 가구, 복지국가 분배 과정 분석)

  • Ryu, Kirak
    • 한국사회정책
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    • v.25 no.4
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    • pp.71-104
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    • 2018
  • This paper adopts a distributive performance process model of in-work poverty based on labor markets, households, and welfare states and analyzes the 4-11 waves of the Korean Welfare Panel Study during 2008-15. Previous studies on in-work poverty have focused on the definitions and concepts of in-work poverty by analyzing employment and unemployment persistence and repetition dynamics, but rarely paid attention to institutional distributive performance. In this regard, this study preforms a stepwise analysis of labor markets, households, and welfare states as a process of income generation in labor markets, satisfaction of welfare needs and income pooling at households, and deduction of social security contribution and income tax as well as receipt of public transfer income at welfare states. Results of empirical analysis show that in-work poverty had been on increase during 2008-11, followed by a decrease between 2012-15. At labor market stages, full time status had the most prominent impact on in-work poverty process, while status by employment and contract type have generated a huge variation as well. At household stages, household work intensity and number of earners contributed to reduction of in-work poverty, but the relations did not seen to be straightforward. However, welfare state played little role in lifting employees out of in-work poverty. In terms of institutional distributive process, in-work poverty was prevalent in either household-welfare state stage or labor market-household-welfare stage. Non-vulnerable group in terms of in-risk poverty was around 80% of the sample during the period of analysis, the size of which has remained constant.

New Landscape of Poverty Management in Land Information System (토지정보를 이용한 빈곤관리의 모델)

  • Liou, Jae-Ik;Oh, Min-Soo;Shin, Young-Chul
    • Journal of the Korean Association of Geographic Information Studies
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    • v.5 no.1
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    • pp.1-19
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    • 2002
  • Estimation and indication for spatial distribution of living quality and poor condition associated with land and house's access as a basic human need has been imperative questions and predicaments while it is required to boost digital economic development and consolidate social maturity. Although modern IT and sophisticated GIS/LIS technologies are used to examine spatial analysis of population location-patterns, land uses and development, and environmental degradation, etc, it still might remain immature step to figure out the causations and results of poverty in space and time. In this research, a new approach to poverty management is explicated by using 6 parameters as a major tool for assisting poverty monitoring concerning the poor who are very unpredictable in space and could be regarded as renegades in the Internet age. In addition, it expounds a new approach and conceptual idea for poverty management to notify spatial location of the digital divide when poverty reduction is closely concerned with sustainable goal of land information.

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Microfinance Outreach and the Microfinance Institutions(MFIs) Sustainability: Evidence from Vietnam

  • Chinomona, Richard;Le, Thanh Tam
    • Asian Journal of Business Environment
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    • v.3 no.1
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    • pp.5-16
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    • 2013
  • Purpose - Micro-finance institutions (MFIs) are critical to Vietnam's quest for poverty alleviation among the poor in the rural and agrarian communities. The current study attempts to investigate the impact of microfinance outreach programs undertaken by formal and semi-formal MFIs in Vietnam targeting the poor rural and agrarian communities. Research design, data, methodology - An enquiry was made as to whether the poor and rural communities accessed the micro credit offered by Government supported MFIs and NGOs through their microfinance outreach programs. Furthermore, the current study attempted to explore if the current mode of operations adopted by MFIs in Vietnam is sustainable. Results -The findings indicate that significant progress has been made in Vietnam to alleviate poverty among the poor rural communities through micro finance outreach programs. Conclusions - There are also pointers of MFIs sustainability in Vietnam. However, it still remains to be seen if the current sustainability pointers are long lasting without government subsidies or some international organizations financial support to microfinance outreach programs.

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Simple Method for the Local Stakeholdersto Evaluate and Select National REDD-plus Program: A Case Study of Indonesia

  • Inoue, Makoto
    • Journal of Forest and Environmental Science
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    • v.28 no.3
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    • pp.194-198
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    • 2012
  • In order not to hinder the trend of promoting participatory forest management under the REDD-plus mechanism, we propose a simple method to support local stakeholders evaluating and selecting promising national programs as REDD-plus activities prior to the launch of activities. Program evaluation is done from the viewpoint of expectations for achieving (1) 'triple-benefit' consisting of emission reduction from mitigating deforestation and forest degradation, biodiversity conservation, and poverty alleviation, and (2) 'feasibility' when the programs would be practiced on the ground. The method is applicable for other countries.