Impact of Financial Crises on Poverty in the Developing World: An Empirical Approach
- 16 November 2011
- journal article
- research article
- Published by Taylor & Francis Ltd in The Journal of Development Studies
- Vol. 47 (11), 1757-1779
- https://doi.org/10.1080/00220388.2011.561329
Abstract
This article adopts a cross-country perspective to analyse the short term effects of currency, banking and debt crises on the poverty headcount ratio and the poverty gap (as measured by the World Bank), employing multivariate fixed-effects panel data analysis. The findings suggest that currency crises most significantly exacerbate both the incidence and depth of poverty in the short run. Banking crises are associated with an increase in the depth of poverty but not the incidence while there is no direct effect of sovereign debt crises. Given the low level of significance, the results are far from conclusive and offer only partial indications of the crises-poverty nexus.Keywords
This publication has 23 references indexed in Scilit:
- Financial Crises and Economic ActivityPublished by National Bureau of Economic Research ,2009
- Business Cycles, Economic Crises, and the PoorThe Journal of Policy Reform, 2002
- The Impact of Financial Crises on Labor Markets, Household Incomes, and Poverty: A Review of EvidenceThe World Bank Research Observer, 2002
- Financial Crises and Poverty in Emerging Market EconomiesSSRN Electronic Journal, 2002
- Growth is Good for the PoorJournal of Economic Growth, 2002
- Inflation and the PoorJournal of Money, Credit and Banking, 2001
- Macroeconomic Policies and Poverty Reduction: Stylized Facts and An Overview of ResearchIMF Working Papers, 2001
- Policy Implications of "Second-Generation" Crisis ModelsStaff Papers, 1997
- Currency crashes in emerging markets: An empirical treatmentJournal of International Economics, 1996
- Inflation and PovertyPublished by National Bureau of Economic Research ,1992