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Growth and Poverty Reduction in Africa in the Last Two Decades: Evidence from an AERC Growth-Poverty Project and Beyond

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  • Andy McKay

Abstract

Sub-Saharan Africa has seen a return to good economic growth performance in the last 15 years, and especially in the last 5–10 years; while this partly reflects the good performance of commodities, several other factors are also important. Focusing on 25 of the largest 26 countries in Sub-Saharan Africa, this paper asks the question of how this growth has translated into poverty reduction, drawing on household survey evidence from countries that have comparable surveys at more than one point in time, and looking at non-monetary poverty as well as monetary measures of poverty. A significant part of the analysis draws on country studies from a recent AERC collaborative project looking at the growth–poverty nexus in Sub-Saharan Africa, but it also draws on a wider evidence base. Poverty has fallen significantly over this period in most countries, though to a somewhat lesser extent than has been asserted in a recent NBER working paper drawing on national accounts data; the evidence presented in this paper is more robust. Non-monetary poverty does not necessarily change in parallel with monetary poverty Copyright 2013 , Oxford University Press.

Suggested Citation

  • Andy McKay, 2013. "Growth and Poverty Reduction in Africa in the Last Two Decades: Evidence from an AERC Growth-Poverty Project and Beyond," Journal of African Economies, Centre for the Study of African Economies, vol. 22(suppl_1), pages -76, January.
  • Handle: RePEc:oup:jafrec:v:22:y:2013:i:suppl_1:p:-i76
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    Cited by:

    1. Pedro M. G. Martins, 2018. "Structural change in Ethiopia," Development Policy Review, Overseas Development Institute, vol. 36(S1), pages 183-200, March.
    2. Paul Mosley, 2013. "Two Africas? Why Africa’s ‘Growth Miracle’ is barely reducing poverty," Global Development Institute Working Paper Series 19113, GDI, The University of Manchester.
    3. Xinshen Diao & Kenneth Harttgen & Margaret McMillan, 2017. "The Changing Structure of Africa’s Economies," The World Bank Economic Review, World Bank Group, vol. 31(2), pages 412-433.
    4. Ibrahim Hassen Worku & Mekdim Dereje & Bart Minten & Kalle Hirvonen, 2017. "Diet transformation in Africa: the case of Ethiopia," Agricultural Economics, International Association of Agricultural Economists, vol. 48(S1), pages 73-86, November.
    5. Angelique G. Nindi & N. M. Odhiambo, 2015. "Poverty and Economic Growth in Swaziland: An Empirical Investigation," Managing Global Transitions, University of Primorska, Faculty of Management Koper, vol. 13(1 (Spring), pages 59-74.
    6. Shinkai, Naoko, 2016. "Examination of Poverty in Northern Mozambique: A Comparison of Social and Economic Dimensions," Working Papers 133, JICA Research Institute.
    7. Ebeh, Joy Eleojo & Awe, Abel, Ariyo, 2021. "Does Poverty Matters in Maternal Health and Output Growth Nexus in sub-Saharan African Countries? A Panel ARDL Approach," Noble International Journal of Economics and Financial Research, Noble Academic Publsiher, vol. 6(6), pages 119-130, December.
    8. Arne Bigsten, 2014. "Dimensions of African Inequality," WIDER Working Paper Series wp-2014-050, World Institute for Development Economic Research (UNU-WIDER).
    9. Morten Jerven, 2014. "African Growth Miracle or Statistical Tragedy?: Interpreting Trends in the Data Over the Past Two Decades," WIDER Working Paper Series wp-2014-114, World Institute for Development Economic Research (UNU-WIDER).
    10. Amponsah, Mary & Agbola, Frank W. & Mahmood, Amir, 2023. "The relationship between poverty, income inequality and inclusive growth in Sub-Saharan Africa," Economic Modelling, Elsevier, vol. 126(C).
    11. Jerven, Morten, 2014. "African growth miracle or statistical tragedy? Interpreting trends in the data over the past two decades," WIDER Working Paper Series 114, World Institute for Development Economic Research (UNU-WIDER).
    12. Arne Bigsten, 2018. "Determinants of the Evolution of Inequality in Africa," Journal of African Economies, Centre for the Study of African Economies, vol. 27(1), pages 127-148.
    13. Mr. Giovanni Melina & Mr. Rafael A Portillo, 2018. "Economic Fluctuations in Sub-Saharan Africa," IMF Working Papers 2018/040, International Monetary Fund.
    14. Ademola Obafemi YOUNG, 2019. "Why Has Growth Not Trickled Down to the Poor? A Study of Nigeria," Review of European Studies, Canadian Center of Science and Education, vol. 11(1), pages 156-156, December.
    15. Bigsten, Arne, 2014. "Dimensions of African inequality," WIDER Working Paper Series 050, World Institute for Development Economic Research (UNU-WIDER).
    16. Mullings, Robert & Mahabir, Aruneema, 2018. "Growth by Destination: The Role of Trade in Africa’s Recent Growth Episode," World Development, Elsevier, vol. 102(C), pages 243-261.
    17. Emmanuel Okokondem Okon & Onoja Israel Monday, 2017. "Empirical and Evidence-Based Investigation: External Debt, Poverty and Economic Growth Nexus," International Journal of Applied Economics, Finance and Accounting, Online Academic Press, vol. 1(1), pages 37-47.
    18. Abel Kinyondo & Riccardo Pelizzo, 2018. "Growth, Employment, Poverty and Inequality in Tanzania," Research Africa Network Working Papers 18/001, Research Africa Network (RAN).
    19. Shifa, Muna & Leibbrandt, Murray, 2021. "Spatial Inequality in Sub-Saharan Africa," EconStor Preprints 244591, ZBW - Leibniz Information Centre for Economics.
    20. Hirvonen, Kalle & Lilleør, Helene Bie, 2015. "Going Back Home: Internal Return Migration in Rural Tanzania," World Development, Elsevier, vol. 70(C), pages 186-202.
    21. Robert Mullings & Aruneema Mahabir, 2016. "Growth by Destination: The Role of Trade in Africa’s Recent Growth Episode," NBS Discussion Papers in Economics 2016/01, Economics, Nottingham Business School, Nottingham Trent University.
    22. Diao, Xinshen & Harttgen, Kenneth & McMillan, Margaret S., 2017. "The changing structure of Africa’s economies," IFPRI discussion papers 1598, International Food Policy Research Institute (IFPRI).

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