Not by growth alone: The role of the distribution of income in regional diversity in poverty reduction

Kalwij, Adriaan; Verschoor, Arjan

doi:10.1016/j.euroecorev.2006.06.003

Cited by 122 publications

(113 citation statements)

References 23 publications

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“…Our method provides considerably more precise regional and temporal estimates of the income and inequality elasticities of poverty that often contradict earlier studies. For example, we find universally higher income elasticities in Latin America and Eastern Europe and Central Asia but lower income elasticities in both South Asia and Sub-Saharan Africa than reported earlier (Kalwij and Verschoor, 2007). Furthermore, since income or inequality elasticities of poverty are concepts of relative change, they may give the misleading impression that richer countries are becoming ever better at reducing poverty even though the underlying absolute changes are small.…”

Section: Introductioncontrasting

confidence: 44%

“…Given the salience of this issue to both policy makers and academics, an increasingly large literature analyzes the impact of changes in incomes and inequality on poverty, as well as their respective contributions towards poverty reduction in the past decades (Ravallion and Chen, 1997;Besley and Burgess, 2003;Bourguignon, 2003;Kraay, 2006;Kalwij and Verschoor, 2007;Bresson, 2009;Chambers and Dhongde, 2011). Collectively, these studies established not only that income growth is crucial to achieving sustained decreases in poverty but also that the benefits of income growth strongly depend on the initial levels of income and inequality.…”

Section: Introductionmentioning

confidence: 99%

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The Pace of Poverty Reduction A Fractional Response Approach

2013

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Section: Introductioncontrasting

confidence: 44%

Section: Introductionmentioning

confidence: 99%

The Pace of Poverty Reduction A Fractional Response Approach

2013

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“…The current paper deviates from especially the most recent comprehensive study on the subject (Kalwij and Verschoor 2007) in several respects. First, it extends the analysis to other measures beyond the headcount ratio used in that study, namely, the depth and severity of poverty measures.…”

Section: Introductionmentioning

confidence: 71%

Inequality and the Impact of Growth on Poverty: Comparative Evidence for Sub-Saharan Africa

2009

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This study explores the extent to which inequality affects the impact of income growth on the rates of poverty changes in sub-Saharan Africa (SSA) comparatively with non-SSA, based on a global sample of 1977-2004 unbalanced panel data. For both regions and all three measures of poverty-headcount, gap, and squared gap-the paper finds the impact of GDP growth on poverty reduction as a decreasing function of initial inequality. The impacts are similar in direction for SSA and non-SSA, so that within both regions there are considerable disparities in the responsiveness of poverty to income growth, depending on inequality. Nevertheless, the income-growth elasticity is substantially less for SSA, implying relatively small poverty-reduction sensitiveness to growth compared with the rest of the developing world. Furthermore, the paper finds a considerable variation in the predicted values of the income-growth elasticity across a large number of SSA countries, implying the need for understanding country-specific inequality attributes for effective poverty-reduction strategies.

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“…They include Fosu (2009Fosu ( , 2010cFosu ( , 2011 and Kalwij and Verschoor (2007). Such an approach helps control for the effects of unobservable country-specific factors that are often present in static cross-country studies.…”

Section: The Growth-inequality-poverty Nexus -A Brief Review Of the Lmentioning

confidence: 99%

Growth, Inequality and Poverty in Sub-Saharan Africa: Recent Progress in a Global Context

Fosu¹

2014

Oxford Development Studies

361

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The present study employs recent World Bank data to shed light, in a global context, on the transformation of changes in income and inequality into poverty reduction for a large number of countries in sub-Saharan Africa (SSA). The study begins by discussing SSA's progress on poverty. Next, it presents data on how various African countries have fared in terms of the incidence of poverty relative to other countries, with special emphasis on the period since the mid-1990s, when SSA generally experienced a growth resurgence. The paper then decomposes performance on poverty into changes in income and inequality for a sample of SSA countries that have the requisite data. The paper finds that recent progress on poverty has been considerable, in contrast to the earlier, 1980-early 1990s, period. Compared with the progress in a global sample of countries, however, progress has been mixed: nonetheless, although African countries lag behind the BRIC group of countries as a whole, many of them have outperformed India. Furthermore, while income growth is found to be the main engine for poverty reduction in SSA in general, the role of inequality is crucial in certain countries. Viewed in a global context, the low levels of income have inhibited the effectiveness of income and inequality improvements in reducing poverty in many African countries.

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Not by growth alone: The role of the distribution of income in regional diversity in poverty reduction

Cited by 122 publications

References 23 publications

The Pace of Poverty Reduction A Fractional Response Approach

The Pace of Poverty Reduction A Fractional Response Approach

Inequality and the Impact of Growth on Poverty: Comparative Evidence for Sub-Saharan Africa

Growth, Inequality and Poverty in Sub-Saharan Africa: Recent Progress in a Global Context

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