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Growth and Poverty in Burkina Faso: A Reassessment of the Paradox

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  • Michael Grimm
  • Isabel Günther

Abstract

Previous poverty assessments for Burkina Faso were due to the neglect of some important methodological issues misleading and led to the so-called 'Burkinabè Growth-Poverty-Paradox', i.e. relatively sustained macro-economic growth, but almost constant poverty. We estimate that poverty significantly decreased between 1994 and 2003 at least on the national level, i.e. growth was in contrast to what previous poverty estimates suggested 'pro-poor'. However, we also demonstrate that between 1994 and 1998 poverty indeed increased despite a good macro-economic performance. This was due to a severe drought and a resulting profound deterioration of the purchasing power of the poor; an issue which was also overseen by previous studies.

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File URL: http://www.diw.de/documents/publikationen/73/diw_01.c.43210.de/dp482.pdf
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Bibliographic Info

Paper provided by DIW Berlin, German Institute for Economic Research in its series Discussion Papers of DIW Berlin with number 482.

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Length: 31 p.
Date of creation: 2005
Date of revision:
Handle: RePEc:diw:diwwpp:dp482

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Keywords: Poverty; Pro-poor growth; Differential inflation; Sub-Saharan Africa; Burkina Faso;

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References

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  1. Foster, James & Greer, Joel & Thorbecke, Erik, 1984. "A Class of Decomposable Poverty Measures," Econometrica, Econometric Society, Econometric Society, vol. 52(3), pages 761-66, May.
  2. Fofack, Hippolyte & Monga, Celestin & Tuluy, Hasan, 2001. "Household welfare and poverty dynamics in Burkina Faso : empirical evidence from household surveys," Policy Research Working Paper Series 2590, The World Bank.
  3. Angus Deaton & Salman Zaidi, 2002. "Guidelines for Constructing Consumption Aggregates for Welfare Analysis," World Bank Publications, The World Bank, number 14101, August.
  4. Angus Deaton, 2004. "Measuring poverty in a growing world (or measuring growth in a poor world)," Working Papers, Princeton University, Woodrow Wilson School of Public and International Affairs, Research Program in Development Studies. 178, Princeton University, Woodrow Wilson School of Public and International Affairs, Research Program in Development Studies..
  5. Ravallion, Martin, 2001. "Growth, Inequality and Poverty: Looking Beyond Averages," World Development, Elsevier, Elsevier, vol. 29(11), pages 1803-1815, November.
  6. Lanjouw, Jean Olson & Lanjouw, Peter, 2001. "How to Compare Apples and Oranges: Poverty Measurement Based on Different Definitions of Consumption," Review of Income and Wealth, International Association for Research in Income and Wealth, vol. 47(1), pages 25-42, March.
  7. Alessandro Tarozzi, 2004. "Calculating Comparable Statistics from Incomparable Surveys, with an Application to Poverty in India," Econometric Society 2004 North American Winter Meetings, Econometric Society 280, Econometric Society.
  8. Michael Grimm & Charlotte Guénard & Sandrine Mesplé-Somps, 2001. "What has happened to the urban population in Côte d'Ivoire since the eighties ? An analysis of monetary poverty and deprivation over 15 years of household data," Working Papers, DIAL (Développement, Institutions et Mondialisation) DT/2001/14, DIAL (Développement, Institutions et Mondialisation).
  9. Dollar, David & Kraay, Aart, 2002. " Growth Is Good for the Poor," Journal of Economic Growth, Springer, Springer, vol. 7(3), pages 195-225, September.
  10. Ravallion, Martin & Chen, Shaohua, 2003. "Measuring pro-poor growth," Economics Letters, Elsevier, Elsevier, vol. 78(1), pages 93-99, January.
  11. Ravallion, Martin, 2004. "Pro-poor growth : A primer," Policy Research Working Paper Series 3242, The World Bank.
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Citations

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Cited by:
  1. Sakurai, Takeshi & Savadogo, Kimseyinga, 2009. "Covariate Shocks and Rural Poverty in Burkina Faso," 2009 Conference, August 16-22, 2009, Beijing, China, International Association of Agricultural Economists 51722, International Association of Agricultural Economists.
  2. Grimm, Michael, 2008. "Food price inflation and schooling," Proceedings of the German Development Economics Conference, Zurich 2008 14, Verein für Socialpolitik, Research Committee Development Economics.
  3. Chandra, Vandana & Osorio Rodarte, Israel, 2009. "Options for Income-Enhancing Diversification in Burkina Faso," MPRA Paper 20928, University Library of Munich, Germany.
  4. Jean-Pierre Lachaud, 2006. "La mesure de la croissance pro-pauvres en Afrique : espace de l’utilité ou des capacités ? Analyse comparative appliquée au Burkina Faso," Documents de travail, Groupe d'Economie du Développement de l'Université Montesquieu Bordeaux IV 122, Groupe d'Economie du Développement de l'Université Montesquieu Bordeaux IV.
  5. Nouve, Kofi & Bambio, Yiriyibin & Kabore, Samuel & Wodon, Quentin, 2010. "Risque et mesures de la pauvreté rurale au Burkina Faso
    [Risk and Measures of Rural Poverty in Burkina Faso]
    ," MPRA Paper 34374, University Library of Munich, Germany.
  6. Johannes Gräb & Michael Grimm, 2008. "Spatial Inequalities Explained: Evidence from Burkina Faso," Discussion Papers of DIW Berlin 843, DIW Berlin, German Institute for Economic Research.
  7. Michael Grimm, 2008. "Food Price Inflation and Children's Schooling," Discussion Papers of DIW Berlin 844, DIW Berlin, German Institute for Economic Research.
  8. Grimm, Michael, 2011. "Does household income matter for children's schooling? Evidence for rural Sub-Saharan Africa," Economics of Education Review, Elsevier, Elsevier, vol. 30(4), pages 740-754, August.
  9. Salem Kanoun, 2012. "Linkages Between Fiscal Debt Sustainability, Growth And Poverty: An Application To Tunisia," Book Chapters, Institute of Economic Sciences.
  10. Montfort Mlachila & Tidiane Kinda, 2011. "The Quest for Higher Growth in the WAEMU Region," IMF Working Papers 11/174, International Monetary Fund.
  11. World Bank, 2010. "Burkina Faso - Promoting Growth, Competitiveness and Diversification : Country Economic Memorandum, Volume 3. Enhancing Growth Factors," World Bank Other Operational Studies 12359, The World Bank.
  12. Jean-Pierre Lachaud, 2005. "A la recherche de l’insaisissable dynamique de pauvreté au Burkina Faso. Une nouvelle évidence empirique," Documents de travail, Groupe d'Economie du Développement de l'Université Montesquieu Bordeaux IV 117, Groupe d'Economie du Développement de l'Université Montesquieu Bordeaux IV.
  13. Arndt, Channing & Hussain, M. Azhar & Salvucci, Vincenzo & Tarp, Finn & Osterdal, Lars, 2013. "Advancing small area estimation," Working Paper Series, World Institute for Development Economic Research (UNU-WIDER) UNU-WIDER Research Paper , World Institute for Development Economic Research (UNU-WIDER).

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