Chaudhry et al. (2006) linked urban poverty with the idea of good governance. They used primary data sources and deduced that people in the weakest state and extremely deplorable conditions tend to become more abandoned and helpless in the presence of poor governance, because they are extremely powerless in controlling the decisions that affect their lives. They further proposed that urban poverty can be mitigated at the city level through good governance of demographic, socioeconomic and infrastructure factors. Pasha (2000) identified nine components of “good economic governance” such as achieving “fiscal discipline”, “growth with equity”, “institutional capacity”, “protection of public interest”, “credibility and coherence”, “capacity to manage the crisis”, “effective service delivery”, “integrity and sovereignty” and indicated that Pakistan's economic performance, based on good economic governance measures, was a mix of deterioration and decline in the 1990s. He recommended that economic management and governance in Pakistan must be excellent if Pakistan is to achieve above-average economic growth and reduce poverty levels. Sumarto, Suryahadi, and Arifianto (2004) empirically examined the impact of poor governance on poverty reduction in Indonesia. Their study showed that the poor are severely affected by bad governance and this sabotages efforts made to reduce poverty. They found evidence of the impact of poor governance on poverty reduction and showed that poverty reduction was faster in areas with better and improved governance. Anwar (2006) is of the opinion that if governance indicators had improved in Pakistan, poverty reduction would have been much faster; and proposed that t...... middle of paper......esh”. Working document no. 143. OECD Development Center Research Program on: Good Governance and Poverty Reduction. Sumarto, S., A. Suryahadi, and A. Arifianto (2004), “Governance and Poverty Reduction: Evidence from Newly Decentralized Indonesia.” An article from the SMERU Research Institute.The News International. Retrieved June 18, 2010, from http://beta.thenews.com.pk/TodaysPrintDetail.aspx?ID=29537&Cat=13&dt=6/18/2010The QoG Social Policy Dataset Codebook. Retrieved from http://www.qog .pol.gu.se/data/QoG_Codebook_vJune09.pdfVan der Hoeven, R. (2000), “Poverty and structural adjustment: some observations on trade-offs between equity and growth.” Employment Paper 2000/4.Geneva: ILOWorld Bank Publications (2002) Poverty in Pakistan: Vulnerability, Social Gaps and Rural Dynamics. Washington, DC.World Bank (2005) Update on poverty in Pakistan, 2005. Washington, DC.
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