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An Empirical Investigation of the ‎Effects of ‎Health and Education ‎on ‎Income Distribution ‎and ‎Poverty in SAARC Countries

Dr. Nassir Ul Haq Wani and Dr. Jasdeep Kaur Dhami

Volume 4 Issue 3 | Sep 2021

DOI: 10.31841/KJEMS.2021.97‎

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The purpose of this paper is to inquire into the effects of health and ‎education on income ‎‎distribution and poverty in selected SAARC countries.‎ A model of income inequality along ‎with a ‎model of ‎poverty, with same explanatory variables, are specified. In these models, the ‎main ‎variables ‎are income level, health status, the level of education and the level of ‎savings. ‎The models are ‎estimated using a panel data set for 5 SAARC countries ‎covering five time ‎periods. ‎The results show ‎that boosting the health and education status in SAARC ‎countries ‎will reduce income inequality and ‎poverty. ‎The results of the empirical examination will help ‎governments ‎in SAARC countries to ‎identify areas that need to be improved upon in order to ‎reduce ‎income inequality and alleviate ‎poverty. ‎The paper is the first of its kind, which ‎provides empirical evidence ‎that the health and ‎education status is negatively associated ‎with income inequality ‎and poverty in SAARC countries. ‎

JEL classification: O12, O15, O50 ‎

Keywords: Health services, Education, Poverty, Income, SAARC Countries‎