Tuesday, December 3, 2013
The OECD has produced a report on Competition and Poverty Reduction.
ABSTRACT: There has been significant progress against extreme poverty in recent years, but nearly 45 per cent of the world’s population still lives on an income of US$2.00 per day or less. Poverty also remains a key problem in developed countries. The discussion focused on the many ways in which competition helps the poor, both as consumers and as small entrepreneurs or wage earners. Stronger competition results in lower prices, for example, and it can also stimulate innovation and growth. Growth and lower prices alone will not necessarily eradicate poverty, however, because skewed income distributions may still leave some people in poverty. Other policies, such as trade, anti-corruption and tax, are also crucial in the fight against poverty.