Non-linear effects of social welfare on multidimensional poverty in developing countries

Social welfare is one of the most significant besides important issues nowadays. Poverty is a fundamental problem of human societies and an obvious sign of lack of economic, social and cultural development, which endangers political stability and social solidarity and mental health in the society. Therefore, in this research, the non-linear effects of social welfare on multidimensional poverty in developing countries have been investigated.

The econometric method used is the Generalized Method of Moment. The models estimated by the GMM method correctly calculate the possibility of persistence and allow to consider the problems of fitting the effectiveness of multidimensional poverty in the scope of this research. In this research, a selection of developing countries has been selected during the period of 2012-2018 to investigate the subject of the study.

The first break of multidimensional poverty and social welfare is less than the calculated threshold level (27/59) based on the results of model estimation, it has a certain effect on multidimensional poverty, and corruption control, public health and social welfare is more than the threshold level, a negative effect on multidimensional poverty in developing countries.

Considering the reducing effects of social welfare variables (over the calculated threshold level), public health and corruption control on multidimensional poverty, it is suggested that institutional reforms are necessary to improve social welfare, promote transparency and improve factors that strengthen political stability. In order to control corruption and increase the level of health and public health in the field of various activities.