scholarly journals The Impact of Zakat on Poverty and Welfare in West Sumatera

Author(s):  
Dian Fitriarni Sari ◽  
Irfan Syauqi Beik ◽  
Wiwiek Rindayanti

Poverty is still a problem faced by all developing countries such as Indonesia. Indonesia's population is predominantly Muslim. One way to reduce poverty is by empowering the zakat system. zakat is an annual financial obligation of Muslim wealth which has reached a wealth surplus (Nishab). Regulations that apply in Indonesia, zakat as a deduction from taxable income has a potential value of zakat 1.57 percent of GDP. West Sumatera is one of the province of Indonesia that has obliged zakat for the State Civil Apparatus. West Sumatera has a zakat potential of IDR 1.7 trillion. This study aims to see how zakat can be an instrument of poverty reduction and a bridge between the poor and the rich. Not only in terms of wealth, but also in terms of spiritual. This study uses the BAZNAS Welfare Index method. The analysis found that the value of the BAZNAS Welfare Index was in the good category.

2021 ◽  
pp. 135406612110014
Author(s):  
Glen Biglaiser ◽  
Ronald J. McGauvran

Developing countries, saddled with debts, often prefer investors absorb losses through debt restructurings. By not making full repayments, debtor governments could increase social spending, serving poorer constituents, and, in turn, lowering income inequality. Alternatively, debtor governments could reduce taxes and cut government spending, bolstering the assets of the rich at the expense of the poor. Using panel data for 71 developing countries from 1986 to 2016, we assess the effects of debt restructurings on societal income distribution. Specifically, we study the impact of debt restructurings on social spending, tax reform, and income inequality. We find that countries receiving debt restructurings tend to use their newly acquired economic flexibility to reduce taxes and lower social spending, worsening income inequality. The results are also robust to different model specifications. Our study contributes to the globalization and the poor debate, suggesting the economic harm caused to the less well-off following debt restructurings.


2021 ◽  
Author(s):  
◽  
Paul Thompson

<p>This thesis examines the question of whether business can be made to work for development. Can the standards that are used to measure development projects be applied to the outcomes of business ventures in developing countries? Proponents of neoliberal economic globalisation claim that economic growth is, by definition, good for the poor, and that the opening of global markets gives unprecedented opportunities for poverty reduction. 'Aid for Trade' is now a significant proportion of ODA funding. This is aid that is directed at assisting developing countries to be able to enter the global market. The claim is that the removal of trade barriers and the facilitation of smooth trade processes will be the key to achieving the MDG targets for poverty alleviation. Literature however suggests that such claims are much exaggerated, and that the global market does not automatically work to benefit the poor. Even where good rates of growth are achieved in a country, the poor are left behind, with widening income gaps between the rich and poor. This thesis examines these issues before investigating the concept of 'pro-poor business'. Economic growth can be structured to have positive benefits for the poor. It does not happen automatically, but it can be intentionally built into economic growth structures. There are some basic and fairly simple steps which all business could adopt to assist in poverty alleviation. Beyond this there are business ventures that are proactive in targeting the needs of poor communities. The thesis looks at case studies of six businesses started by expatriate entrepreneurs in six Asian countries. The businesses are investigated by a qualitative study that uses an emailed questionnaire followed up by further email and phone discussions. The businesses have been chosen to illustrate the possibilities over a range of types and sizes of business, and the degree to which they are intentional in targeting specific poverty issues. The businesses are asked questions both about their business structures and also about the extent to which they achieve development oriented goals. Issues faced by the businesses in this melding of business and development concerns are examined. The conclusion is that there are opportunities arising from globalisation that can be taken and shaped to enable the poor to become participants in the global economy.</p>


2021 ◽  
Author(s):  
◽  
Paul Thompson

<p>This thesis examines the question of whether business can be made to work for development. Can the standards that are used to measure development projects be applied to the outcomes of business ventures in developing countries? Proponents of neoliberal economic globalisation claim that economic growth is, by definition, good for the poor, and that the opening of global markets gives unprecedented opportunities for poverty reduction. 'Aid for Trade' is now a significant proportion of ODA funding. This is aid that is directed at assisting developing countries to be able to enter the global market. The claim is that the removal of trade barriers and the facilitation of smooth trade processes will be the key to achieving the MDG targets for poverty alleviation. Literature however suggests that such claims are much exaggerated, and that the global market does not automatically work to benefit the poor. Even where good rates of growth are achieved in a country, the poor are left behind, with widening income gaps between the rich and poor. This thesis examines these issues before investigating the concept of 'pro-poor business'. Economic growth can be structured to have positive benefits for the poor. It does not happen automatically, but it can be intentionally built into economic growth structures. There are some basic and fairly simple steps which all business could adopt to assist in poverty alleviation. Beyond this there are business ventures that are proactive in targeting the needs of poor communities. The thesis looks at case studies of six businesses started by expatriate entrepreneurs in six Asian countries. The businesses are investigated by a qualitative study that uses an emailed questionnaire followed up by further email and phone discussions. The businesses have been chosen to illustrate the possibilities over a range of types and sizes of business, and the degree to which they are intentional in targeting specific poverty issues. The businesses are asked questions both about their business structures and also about the extent to which they achieve development oriented goals. Issues faced by the businesses in this melding of business and development concerns are examined. The conclusion is that there are opportunities arising from globalisation that can be taken and shaped to enable the poor to become participants in the global economy.</p>


Author(s):  
Jock R. Anderson ◽  
Regina Birner ◽  
Latha Najarajan ◽  
Anwar Naseem ◽  
Carl E. Pray

Abstract Private agricultural research and development can foster the growth of agricultural productivity in the diverse farming systems of the developing world comparable to the public sector. We examine the extent to which technologies developed by private entities reach smallholder and resource-poor farmers, and the impact they have on poverty reduction. We critically review cases of successfully deployed improved agricultural technologies delivered by the private sector in both large and small developing countries for instructive lessons for policy makers around the world.


2015 ◽  
Vol 25 (13) ◽  
pp. 2503-2517 ◽  
Author(s):  
Vítor V. Vasconcelos ◽  
Francisco C. Santos ◽  
Jorge M. Pacheco

Global coordination for the preservation of a common good, such as climate, is one of the most prominent challenges of modern societies. In this manuscript, we use the framework of evolutionary game theory to investigate whether a polycentric structure of multiple small-scale agreements provides a viable solution to solve global dilemmas as climate change governance. We review a stochastic model which incorporates a threshold game of collective action and the idea of risky goods, capturing essential features unveiled in recent experiments. We show how reducing uncertainty both in terms of the perception of disaster and in terms of goals induce a transition to cooperation. Taking into account wealth inequality, we explore the impact of the homophily, potentially present in the network of influence of the rich and the poor, in the different contributions of the players. Finally, we discuss the impact of polycentric sanctioning institutions, showing how such a scenario also proves to be more efficient than a single global institution.


2021 ◽  
pp. 58-60
Author(s):  
T. Indumathi ◽  
G. Savaraiah

The World Bank's Andhra Pradesh Rural Poverty Reduction Project supports the self helf groups of the women members. It promotes women's social, economic, legal and political empowerment to reduce poverty among the poor and the poorest of the poor. The important object of this article is to examine the impact of micronance on the socio economic empowerment of the rural women supported by the national reputed NGO- Rashtriya Seva Samithi (RASS). 184 women members of the SHGs promoted by Rasthriya Seva Samathi (RASS) an NGO which located in Tirupati town. 184 samples are selected randomly from 15 SHGs scattered throughout the Tirupati rural mandal (Taluk) from the area of the study have been considered to conduct the present research study. The study reveals that 87.71 percent of the sample women were below the poverty line before joining the SHGs. As a result of SHG, about 40 percent of the sample women crossed the poverty line. The highest intensive value indicates that more women have participated in social agitations for the welfare of the children and the society. The second highest intensity reveals that considerable numbers of women of SHGs have participated in the government sponsored schemes. The 1st point secured 3rd rank with total intensity value of 605 which status that the micro credit has resulted in increased social status and empowerment.


2017 ◽  
Vol 3 (1) ◽  
pp. 39-46
Author(s):  
Mariam Abbas Soharwardi ◽  
Hina Ali ◽  
Mujahid Ali

Purpose: In developing countries foreign lending becomes a problem now a day instead of spend this lending for the development purposes. Ultimately this problem causes poverty in these countries where usage of foreign lending is not in proper ways. The purpose of this study is to investigate the impact of IMF and World Bank lending on poverty in Pakistan, India and Bhutan. In this study corruption, GDP, unemployment, secondary enrolment, and external debt are used as independent variables and poverty headcount ratio as dependent variable. Study finds out the relationship of corruption, unemployment and external debts with poverty and showing the positive relationship while secondary enrolment and GDP showing negative relation with poverty. Moreover study finds out that lending of IMF and WORLD BANK mostly causes poverty in these developing countries instead of reducing poverty because of corrupt government's weak policies for the distribution of loans. It is examined that the countries with strong policies and non-corrupt government can take full advantage of these lending for poverty reduction. But it is noticed that the countries which are the members of IMF structural adjustment programs are facing more poverty problems as compare to those countries which are not involved in these programs or even have less numbers of lending. Those countries are much better than the countries involve in structural adjustment programs.


2017 ◽  
Vol 9 (2) ◽  
pp. 189-207
Author(s):  
AN Ras Try Astuti ◽  
Andi Faisal

Capitalism as an economic system that is implemented by most countries in the world today, in fact it gave birth to injustice and social inequalityare increasingly out of control. Social and economic inequalities are felt both between countries (developed and developing countries) as well as insociety itself (the rich minority and the poor majority). The condition is born from the practice of departing from faulty assumptions about the man. In capitalism the individual to own property released uncontrollably, causing a social imbalance. On the other hand, Islam never given a state model that guarantees fair distribution of ownership for all members of society, ie at the time of the Prophet Muhammad established the Islamic government in Medina. In Islam, the private ownership of property was also recognized but not absolute like capitalism. Islam also recognizes the forms of joint ownership for the benefit of society and acknowledges the ownership of the state that aims to create a balance and social justice.


2005 ◽  
Vol 49 (2) ◽  
pp. 145-176 ◽  
Author(s):  
Jalia Kangave

KANGAVE, JALIA, Improving tax administration: a case study of the Uganda Revenue authority, Journal of African Law, 49, 2 (2005): 145–176The prevalence of poverty in developing countries demands that these countries should improvise internal revenue generating projects to supplement, or better still, ultimately significantly reduce dependence on foreign funding. This way self-sustaining economies will be built. One such internal revenue-generating mechanism, and perhaps the most commonly used, is taxation. This paper makes a case for tax administration as a tool of increasing the contribution of tax revenue to Gross Domestic Product, and consequently, a means of reducing the gap between the rich and the poor. The goal of this paper is to propose ways in which the Uganda Revenue Authority (the URA) can improve its tax administration. To achieve this objective, the paper begins with a detailed discussion of the URA's structure and the procedures it follows in collecting taxes. It then highlights the problems that may arise from such structure and procedures, before making proposals on how the URA can reform its organizational structure and processes to maximize its potential in revenue collection capabilities.


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