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Is Income Growth in the United States Pro-Poor? A State-Level Analysis

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  • Edinaldo Tebaldi

    (Department of Economics, Bryant University, 1150 Douglas Pike, Suite H-229, Smithfield, RI 02917, USA.)

  • Jongsung Kim

    (Department of Economics, Bryant University, 1150 Douglas Pike, Suite H-229, Smithfield, RI 02917, USA.)

Abstract

This study uses the Current Population Survey and a decomposition method proposed by Datt and Ravallion to assess the impacts of income growth and income distribution on poverty across states in the United States. It finds that between 1992 and 2011 growth of income, rather than changes in income distribution, was the major source of poverty reduction across US states. The empirical analysis also shows that there is asymmetrical impact on poverty — via both income distribution and income growth — during recessions and economic expansions: poor people are hit harder during recessions and benefit less during economic booms.

Suggested Citation

  • Edinaldo Tebaldi & Jongsung Kim, 2015. "Is Income Growth in the United States Pro-Poor? A State-Level Analysis," Eastern Economic Journal, Palgrave Macmillan;Eastern Economic Association, vol. 41(2), pages 251-272, March.
    • Handle: RePEc:pal:easeco:v:41:y:2015:i:2:p:251-272
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    Cited by:

    1. Zwierzchowski Jan & Panek Tomasz, 2022. "Has Economic Growth in Balkan Countries Been Pro-Poor in the 2012–2017 period?," Central European Economic Journal, Sciendo, vol. 9(56), pages 76-92, January.
    2. Takahiro Akita & Sachiko Miyata, 2020. "Assessing Pro-poorness of Regional Economic Growth: Evidence from Indonesia, 2004-2014," Working Papers EMS_2020_03, Research Institute, International University of Japan.
    3. Anton Michálek & Ján Výbošťok, 2019. "Economic Growth, Inequality and Poverty in the EU," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 141(2), pages 611-630, January.

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