Search Results for income-inequality
Abstract
Despite Iraq's vast natural resources and its adoption of the Sustainable Development Goals (SDGs) since 2015, poverty rates remain high and income inequality widens. This reflects the limited capacity of the Iraqi economy to translate economic growth into tangible improvements in welfare and human development. This raises questions about the nature and extent of the short- and long-term impact of poverty and income inequality on the path to sustainable development. This study aimed to analyze the impact of poverty and income inequality on sustainable development in Iraq, as measured by the Human Development Index (HDI), during the period 2015–2023. The study employed a descriptive, analytical, quantitative approach using annual time series data. The Autoregressive Distributed Limiting (ARDL) model was applied due to its suitability for the data type, small sample size, and ability to handle mixed integration ranks. Unit root tests, bounds tests, and diagnostic tests were conducted to verify the model's validity and stability. The study's findings revealed a long-term equilibrium relationship between poverty, income inequality, and human development in Iraq, with statistically significant effects of these two variables on the long-term Human Development Index (HDI). Furthermore, the ECM error correction model demonstrated short-term dynamics and a gradual adjustment towards long-term equilibrium, confirming that poverty and income inequality constitute structural obstacles to achieving sustainable development. The study recommends adopting integrated economic and social policies to reduce poverty, ensure equitable income distribution, improve the efficiency of public spending in education and health, and strengthen economic governance in Iraq.
Abstract
Despite Iraq's vast natural resources and its adoption of the Sustainable Development Goals (SDGs) since 2015, poverty rates remain high and income inequality widens. This reflects the limited capacity of the Iraqi economy to translate economic growth into tangible improvements in welfare and human development. This raises questions about the nature and extent of the short- and long-term impact of poverty and income inequality on the path to sustainable development. This study aimed to analyze the impact of poverty and income inequality on sustainable development in Iraq, as measured by the Human Development Index (HDI), during the period 2015–2023. The study employed a descriptive, analytical, quantitative approach using annual time series data. The Autoregressive Distributed Limiting (ARDL) model was applied due to its suitability for the data type, small sample size, and ability to handle mixed integration ranks. Unit root tests, bounds tests, and diagnostic tests were conducted to verify the model's validity and stability. The study's findings revealed a long-term equilibrium relationship between poverty, income inequality, and human development in Iraq, with statistically significant effects of these two variables on the long-term Human Development Index (HDI). Furthermore, the ECM error correction model demonstrated short-term dynamics and a gradual adjustment towards long-term equilibrium, confirming that poverty and income inequality constitute structural obstacles to achieving sustainable development. The study recommends adopting integrated economic and social policies to reduce poverty, ensure equitable income distribution, improve the efficiency of public spending in education and health, and strengthen economic governance in Iraq.
Abstract
This research aims to analyze the economic imbalances caused by local factors related to the nature of overall activity. These imbalances can be commodity-based, stemming from imbalances in aggregate supply and demand; financial, from imbalances in the general budget; or monetary, from imbalances between the supply and demand for money. Within this research framework, we can focus on the occurrence of these imbalances and their impact on deepening poverty, especially given that the Iraqi economy suffers from a set of structural imbalances: a rentier economy and dependence on crude oil, coupled with a clear weakness in the contribution of other productive sectors such as agriculture and industry. This has led to weak economic diversification and income inequality. The research is based on the hypothesis that there is a direct relationship between structural imbalances and high poverty rates in Iraq. To test this hypothesis, the descriptive and analytical methods were used, examining economic sectors and analyzing the evolution of poverty rates. The research concluded that dependence on a rentier economy, the inefficiency of fiscal policies and income redistribution, as well as developmental disparities between governorates, have all contributed to deepening poverty and fluctuating its rates. The results also showed that improvements in poverty levels were temporary and dependent on... The increase in oil revenues is a direct result of economic policies, and based on this, the research recommends diversifying income sources, strengthening the role of productive sectors, and improving the efficiency of economic and social policies to reduce structural imbalances and decrease poverty rates in Iraq.