Interaction Poverty, Growth and Inequality in Senegal

Dr. Mbaye AW

Abstract: This article examines the links between poverty, income inequality, and economic growth in Senegal over the period 2000-2025 using a panel VAR model estimated by the GMM method. It analyzes the extent to which growth reduces poverty and whether this growth can be described as pro-poor. The results reveal significant bidirectional interactions between the three variables. An increase in GDP reduces poverty with a lag of one to two years, but an increase in inequality raises poverty and hinders future growth. Thus, only a combination of growth and inequality-reduction policies enables inclusive development.

Keywords: Poverty, Income inequality, Senegal, Economic development, Living standard, Social inequality, Welfare analysis

How to Cite?: Dr. Mbaye AW, "Interaction Poverty, Growth and Inequality in Senegal", Volume 15 Issue 1, January 2026, International Journal of Science and Research (IJSR), Pages: 1795-1804, https://www.ijsr.net/getabstract.php?paperid=SR26125050412, DOI: https://dx.doi.org/10.21275/SR26125050412