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Poverty and Inequality in Sub-Saharan Africa: Literature Survey and Empirical Assessment

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  • Delfin Go

    (Africa Department, the World Bank)

  • Denis Nikitin

    (Development Research Group, the World Bank)

  • Xiongjian Wang

    (CEMA, Central University)

  • Heng-fu Zou

    (CEMA, Central University, IAS, Wuhan University)

Abstract

This paper surveys the literature and assesses the magnitude, persistence, and depth of poverty and inequality in Sub-Saharan Africa using empirical analysis. Our analysis explores linkages between three key facts about development in Sub-Saharan Africa: poor economic growth, poor performance in terms of public health indicators, and resilient high-income inequality. Most of the differential between growth rates in Sub-Saharan Africa and other developing countries can be explained by two measures of human capital-secondary enrolment and infant mortality. We also find that the growth trend in Sub-Saharan Africa does not significantly differ from other developing countries that have fallen into a poverty trap.

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Bibliographic Info

Article provided by Society for AEF in its journal Annals of Economics and Finance.

Volume (Year): 8 (2007)
Issue (Month): 2 (November)
Pages: 251-304

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Handle: RePEc:cuf:journl:y:2007:v:8:i:2:p:251-304

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Keywords: Poverty; Inequality; African Economy;

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References

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  1. Deininger, K & Squire, L, 1996. "Measuring Income Inequality : A New Data-Base," Papers 537, Harvard - Institute for International Development.
  2. Angus Deaton, 2001. "Health, Inequality, and Economic Development," NBER Working Papers 8318, National Bureau of Economic Research, Inc.
  3. Sahn, David E. & Stifel, David C., 2003. "Progress Toward the Millennium Development Goals in Africa," World Development, Elsevier, vol. 31(1), pages 23-52, January.
  4. Gernot Doppelhofer & Ronald I. Miller & Xavier Sala-i-Martin, 2000. "Determinants of Long-Term Growth: A Bayesian Averaging of Classical Estimates (Bace) Approach," OECD Economics Department Working Papers 266, OECD Publishing.
  5. Daron Acemoglu & Simon Johnson & James A. Robinson, 2001. "The Colonial Origins of Comparative Development: An Empirical Investigation," American Economic Review, American Economic Association, vol. 91(5), pages 1369-1401, December.
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  7. Elsa V. Artadi & Xavier Sala-i-Martín, 2003. "The economic tragedy of the XXth Century: Growth in Africa," Economics Working Papers 684, Department of Economics and Business, Universitat Pompeu Fabra.
  8. Giovanni Cornia & Leonardo Menchini, 2004. "The pace and distribution of health improvements during the last 40 years: some preliminary results," Development Working Papers 194, Centro Studi Luca d\'Agliano, University of Milano.
  9. Ravallion, Martin, 1999. "Are poorer states worse at targeting their poor?," Economics Letters, Elsevier, vol. 65(3), pages 373-377, December.
  10. Hongyi Li & Lyn Squire & Heng-fu Zou, 1998. "Explaining International and Intertemporal Variations in Income Inequality," CEMA Working Papers 73, China Economics and Management Academy, Central University of Finance and Economics.
  11. Paul Collier & Jan Willem Gunning, 1999. "Why Has Africa Grown Slowly?," Journal of Economic Perspectives, American Economic Association, vol. 13(3), pages 3-22, Summer.
  12. Fan, Shenggen & Rao, Neetha, 2003. "Public spending in developing countries: trends, determination, and impact," EPTD discussion papers 99, International Food Policy Research Institute (IFPRI).
  13. Svensson, Jakob, 1998. "Foreign aid and rent-seeking," Policy Research Working Paper Series 1880, The World Bank.
  14. Dollar, David & Levin, Victoria, 2004. "Increasing selectivity of foreign aid, 1984-2002," Policy Research Working Paper Series 3299, The World Bank.
  15. Ravallion, Martin, 1995. "Growth and poverty: Evidence for developing countries in the 1980s," Economics Letters, Elsevier, vol. 48(3-4), pages 411-417, June.
  16. Ifpri, 2005. "Africa without borders: building blocks for regional growth," Issue briefs 38, International Food Policy Research Institute (IFPRI).
  17. Sahn, David E. & Stifel, David C., 2000. "Poverty Comparisons Over Time and Across Countries in Africa," World Development, Elsevier, vol. 28(12), pages 2123-2155, December.
  18. Paulo Silva Lopes, 2005. "The Disconcerting Pyramids of Poverty and Inequality of Sub-Saharan Africa," IMF Working Papers 05/47, International Monetary Fund.
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