Trade and Poverty: The Effect of Trade Openness on Poverty
Independent thesis Basic level (degree of Bachelor), 10 credits / 15 HE creditsStudent thesis
This study looked at the effect of trade openness on Poverty in Mexico and The Republic of Korea. The relationship between trade openness and three channels through which trade is believed to affect poverty is established through regression analyses. Further a poverty index was regressed on changes in the channel indicators (i.e. CPI inflation, Unemployment and Taxes on Income and Profits) that are as a result of trade. Trade is found to mostly help in reducing poverty in Mexico through all three channels. However this is found to be the case when the trade dependency is both imports and exports driven or when it is mainly imports driven but not when it is mainly export driven. Although a link could be established between trade and the three channels in Korea, a conclusion for the link between trade openness and poverty could not be drawn due to the lack of data for the poverty index.
Place, publisher, year, edition, pages
Trade openness, Poverty Index, Dependency Index, Unemployment, CPI Inflation, and Taxes on Income and Profits
IdentifiersURN: urn:nbn:se:uu:diva-219937OAI: oai:DiVA.org:uu-219937DiVA: diva2:703619
Borota Milicevic, Teodora, Forskare
Ohlsson, Henry, Professor