Investigating the Effect of Globalization on Capability Poverty in the Selected Islamic Countries

Hosseinidoust, Seyed Ehsan; Sepehrdoost, Hamid; Moradi, Farshid

doi:10.30473/egdr.2024.68590.6753

Document Type : ORIGINAL ARTICLE

Authors

¹ Assistant Professor, Faculty of Economics and Social Sciences, Bu-Ali Sina University, Hamedan, Iran.

² Professor, Faculty of Economics and Social Sciences, Bu-Ali Sina University, Hamedan,, Iran.

³ MSc of Economics, Faculty of Economics and Social Sciences, Bu-Ali Sina University, Hamedan, Iran.

https://doi.org/10.30473/egdr.2024.68590.6753

Abstract

Poverty is one of the oldest and even the most important problems of human societies, which affects various aspects of individual and social life. Due to the multi-dimensional nature of this phenomenon, dealing with the factors affecting it has always been one of the challenging issues in economic discussions and solving this problem is one of the important goals that are considered in all of the economic planning. Considering the guidelines of Islam regarding to the economic welfare and poverty alleviation of the society, the lack of a study that examines the effect of various variables on the capability poverty index in Muslim countries is noticeable. Moreover, the studies conducted on other countries are along with contradictions in their findings, which doubles the necessity of investigating this issue. Therefore, the aim of the present study is to investigate the effect of factors affecting capability poverty in the selected Muslim countries known as the D8 group relying on the Feasible Generalized Least Squares (FGLS) method during the period of 1997-2021. Results show the negative and significant effect of globalization on capability poverty in the D8 countries during the covered period, such that for each unit increase in the globalization index, capability poverty decreases by 1.8%, which indicates a relative improvement in the welfare of these countries. Likewise, the impact of economic growth on capability poverty is positive, so that a one percent increases in economic growth leads to an increase in capability poverty by 0.21 percent. Such finding can be due to not utilization of the benefits of growth to improve welfare infrastructure in the mentioned countries. In addition, the effect of control variables such as inflation and geographical distribution of the population has also been evaluated positively on capability poverty. Based on the findings of the current study, it is recommended to adopt inflation control programs and moving towards the promotion of globalization indicators in the economies of the D8 group.

Keywords

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Economic Growth and Development Research

Investigating the Effect of Globalization on Capability Poverty in the Selected Islamic Countries

References

References

Volume 14, Issue 56
October 2024
Pages 149-133

Investigating the Effect of Globalization on Capability Poverty in the Selected Islamic Countries

References

References

Volume 14, Issue 56October 2024Pages 149-133

Volume 14, Issue 56
October 2024
Pages 149-133