POVERTY DYNAMICS UNDER GLOBALIZATION: US AND THE OTHER OECD COUNTRIES

Abstract

The progress in reducing the level of poverty after the global crisis lacked behind the process of improving economic indicators in some countries and there are countries where the level of poverty even increased. The paper highlights gaps in poverty levels among different groups of population according to age, gender, and education. It examines poverty trends in US and other OECD countries, covering changes from the global crisis period; the approaches to determining poverty line, including official and supplemental poverty measure which in addition to government cash benefits takes into account non-cash benefits and taxes. Working poor, whose income remains under poverty line, while they are working, are of special attention. Among the main factors that can lower a worker’s ability to earn an income above the poverty threshold – low level of education, long periods of unemployment, part-time employment. It is pointed that the benefits of globalization are not reaching those who are in poverty and government policies often fail to respond to their needs.