Abstract and Keywords
This article explores the influence of politics and institutions on poverty and inequality. It first considers the general contention that poverty is shaped by the combination of power resources and institutions. On one hand, scholars in the power resources tradition have emphasized the role of class-based collective political actors for mobilizing “power resources” in the state and economy. On the other hand, institutionalists have highlighted the role of formal rules and regulations. The article goes on to discuss the theoretical arguments of power resources theory and the evidence for key power resources (that is, collective political actors like labor unions and parties). It also reviews institutional explanations, focusing on the key concepts and theories and as well as the evidence linking the most salient institutions to poverty. Finally, it examines how state policy influences poverty and presents several challenges for future research.
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