Trade Liberalization, Poverty and Inequality Nexus: A Case Study of India
Journal Title: Asian Economic and Financial Review - Year 2011, Vol 1, Issue 3
Abstract
The paper attempted to see the relationship between trade liberalization and poverty andinequality in India. For trade liberalization, volume of trade as ratio of GDP, head countratio for poverty and Gini-coefficient has been used for income inequality. The grangercausality technique is applied to time series data for the years 1970-2009. The resultsindicate that trade has no significant effect on poverty and poverty has no effect ontrade. However, trade has increased inequality in the short-run and inequality affectedthe trade in the long-run negatively. It partially contradicts the prediction of the Stolper-Samuelson theorem.
Authors and Affiliations
Rana Ejaz Ali Khan| Associate Professor/Head Department of Management Sciences. COMSATS Institute of Information Technology. Sahiwal, Pakistan. E-mails: ranaejazalikhan@yahoo.com, Nadia Bashir| Ph.D. Scholar, Department of Economics. The Islamia University of Bahawalpur, Pakistan. E-mails: nadia_bashir@hotmail.com
Keywords
Related Articles
- EP ID EP1720
- DOI -
- Views 1144
- Downloads 75
PUBLIC SECTOR WAGE AND INFLATION IN GHANA
Achieving price stability has been in the orbit of concern of state authorities for time immemorial. This paper, therefore, attempted to determine empirically the impact of public wage bill on inflation in Ghana for the...
ARE ONLINE PHARMACY PRICES REALLY LOWER IN MEXICO?
Empirical research on international pharmaceutical prices has uncovered numerous interesting commonalities and differences across international markets. This study examines price differences for brand name medicines sol...
AN INVESTIGATION INTO THE EFFICIENCY OF MONETARY AND FISCAL POLICIES IN IRAN CASE STUDY: THE 4th ECONOMIC DEVELOPMENT PLAN
This study investigates the efficiency of the quantitative targets of monetary and fiscal policies of Iranian 4th economic development plan using dynamic simulation approach. An open macro economy model was designed and...
AN EARLY WARNING SYSTEM FOR TURKEY: THE FORECASTING OF ECONOMIC CRISIS BY USING THE ARTIFICIAL NEURAL NETWORKS
An economic crisis is typically a rare kind of an event but it impedes monetary stability, fiscal stability, financial stability, price stability, and sustainable economic development when it appears. Economic crises hav...
AN ANTI-AUSTERITY POLICY RECIPE AGAINST DEBT ACCUMULATION IN THE PRESENCE OF HIDDEN ECONOMY
Contrary to what the literature on the linkage between debt accumulation and hidden economy suggests, this paper advocates that the two relationships, tax-hidden economy size and inflation-hidden economy size, have to be...