Financial Development, Globalization, and Poverty

Globalization is a dynamic process the effects of which are felt in every aspect of our lives. Not all countries have benefited from this process of change and transformation, in which almost the entire world is integrated, to the same extent. While some countries have adapted themselves to this process more quickly, it has progressed more slowly for some countries. First of all, this process contains both risks and opportunities. So, does globalization increase or decrease poverty? In the academic community, the issue of whether globalization increases poverty or not is almost at the top of the list of most debated topics, especially with the development of financial markets and the more widespread use of technology.In this study, the effects of financial development and technological innovation as two important dimensions of globalization on poverty, which is the most important social problem of all countries in the world, were empirically examined in transition economies that abandoned planned economies and switched to free market economies.