Journals Proceedings

Abstract

This article studies the nature of the correlation between poverty, inequality and growth. This correlation between this concept has always been complicated in classical political economic models where we usually find a residual term to maintain the identity of the model. In fact, this model does not allow us to find the exact contribution of each factor. Therefore, to derive the results of the decomposition and to have a unified theoretical framework, we use the Shapley value augmented by the fuzzy approach. In order to take full advantage of this value, it is of interest to calculate the marginal contribution of income inequality and growth in the variation of poverty. An application based on individual well-being data from Tunisian households in 2005 and in 2010 is presented to illustrate use of the proposed concept. JEL classification: I32, D63, D9