Impact of Unemployment and Governance on Poverty in Pakistan: A Fresh Insight from Non-linear ARDL Co-integration Approach

Authors

Muhammad Saeed Meo, The Superior University, Lahore
Bezon Kumar, Rabindra University
Sumayya Chughtai, International Islamic University, Islamabad
Vina Javed Khan, University of Wollongong
Muhammad Khyzer Bin Dost, The Superior University, Lahore
Qasim Ali Nisar, The Superior University, Lahore

Publication Name

Global Business Review

Abstract

This article aims to give a fresh insight into the non-linear relationship between unemployment, governance, and poverty in Pakistan. For the purpose, the study utilizes data from 1984 to 2016 by employing a nonlinear ARDL co-integration approach. The findings provide an insight that poverty responds asymmetrically due to positive or negative shocks in unemployment and governance. Moreover, the results suggest that applying linear models on poverty modelling may mislead the inference. The findings of the study imply that the policymakers and academicians must consider nonlinear behaviour of poverty for better policymaking.

Open Access Status

This publication is not available as open access

Volume

24

Issue

5

First Page

1007

Last Page

1024