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Power and poverty: The distributional consequences of Walmart Supercenter openings

Year: 2026

Type: article

Abstract: We use restricted-access Panel Study of Income Dynamics data from 1970–2019 to study how Walmart Supercenter openings relate to poverty and employment. Using a stacked difference-in-differences approach, we find that the opening of a Supercenter is associated with a 2.2 percentage point (18%) increase in poverty. This estimate falls to 1.6 percentage points once we account for differences in household formation. The increases in poverty are largest for younger and less-educated adults and are linked to lower wages among employed adults compared to the control group.

Source: Labour Economics

DOI: 10.1016/j.labeco.2026.102927

Authors: Lukas Lehner, Zachary Parolin, Clemente Pignatti, Rafael Pintro-Schmitt

Institutions: Vienna University of Economics and Business, University of Edinburgh, University of Oxford, University of Milan, University of California, Berkeley

Language: English

Topic: Income, Poverty, and Inequality

Subfield: Sociology and Political Science

Field: Social Sciences

Domain: Social Sciences

SDGs: No poverty, Decent work and economic growth, Reduced inequalities

Open Access status: hybrid

Estimated APC paid: $3,240