How to reduce poverty and address climate change? An empirical crosscountry analysis and the roles of economic growth and inequality

"How can countries eradicate poverty while also addressing climate change? Despite the necessity to deal with both issues simultaneously, no study has analysed the empirical relationship between the two aforementioned goals and the factors that drive these interlinkages. This paper addresses th...

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Main Author: Malerba, Daniele
Institution:ETUI-European Trade Union Institute
Format: TEXT
Language:English
Published: Manchester 2018
GDI
Subjects:
Online Access:https://www.labourline.org/KENTIKA-19301873124911290559-How-to-reduce-poverty-and-addr.htm
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author Malerba, Daniele
author_facet Malerba, Daniele
collection Library items
description "How can countries eradicate poverty while also addressing climate change? Despite the necessity to deal with both issues simultaneously, no study has analysed the empirical relationship between the two aforementioned goals and the factors that drive these interlinkages. This paper addresses this gap in the literature, and the initial research question, by developing a framework to analyse this relationship and its drivers. It then econometrically tests the propositions derived from the framework, using data from 135 developed and developing countries. The paper’s findings show that the carbon intensity of poverty reduction (CIPR), defined as the ratio between proportional changes in emissions levels and the share of the population above the poverty line, is heterogeneous across countries. This heterogeneity is partly explained by economic growth, which is found to have a negative effect on the CIPR up to a certain income level, defined here as a ‘turning point’. Above that turning point, economic growth increases the CIPR. By contrast, inequality reduction is shown to have an unambiguous negative effect on the CIPR. The results are robust for different poverty lines and different model specifications. In addition, the research underlines the tension between policy perspectives at the national and global levels. Economic growth, despite the potential to reduce the national carbon intensity of poverty reduction for the numerous countries that lie below the estimated turning points, needs to confront global environmental boundaries. Given this tension, the paper concludes that, alongside developed countries drastically reducing their emissions, developing countries should follow alternative development paths. Among them, a stronger greening of economic growth or an increased use of cash transfers and inequality-reducing policies are discussed."
format TEXT
geographic international
id 19301873124911290559_4cb8da84b3c3467d80cf114c0d6f75d1
institution ETUI-European Trade Union Institute
is_hierarchy_id 19301873124911290559_4cb8da84b3c3467d80cf114c0d6f75d1
is_hierarchy_title How to reduce poverty and address climate change? An empirical crosscountry analysis and the roles of economic growth and inequality
language English
physical 39 p.
Digital
publishDate 2018
publisher Manchester
GDI
spellingShingle Malerba, Daniele
poverty
social inequality
climate change
economic growth
How to reduce poverty and address climate change? An empirical crosscountry analysis and the roles of economic growth and inequality
thumbnail https://www.labourline.org/Image_prev.jpg?Archive=135043595322
title How to reduce poverty and address climate change? An empirical crosscountry analysis and the roles of economic growth and inequality
topic poverty
social inequality
climate change
economic growth
url https://www.labourline.org/KENTIKA-19301873124911290559-How-to-reduce-poverty-and-addr.htm