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Macroeconomic crises and poverty monitoring

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  • Datt, Gaurav
  • Ravallion, Martin

Abstract

Assessment of the welfare impacts of low-frequency events, such as macroeconomic crises and stabilizations, are often confounded by sampling and nonsampling errors that generate fluctuations in household survey-based welfare indicators; they are also limited by our ability to explain fluctuations in terms of other available data. Basing policy on short-term movements in welfare indicators can thus be hazardous. There was a sharp increase in India's poverty measures in the aftermath of the mid-1991 crisis and the ensuing stabilization reforms. However, only one-tenth of the increase in measured poverty is explicable in terms of the variables one would expect to transmit the shock. Poverty measures soon returned to their pre-reform levels, belying the notion of a reforms-induced structural break.

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Bibliographic Info

Paper provided by International Food Policy Research Institute (IFPRI) in its series FCND discussion papers with number 20.

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Date of creation: 1996
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Handle: RePEc:fpr:fcnddp:20

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Keywords: Poverty ; Welfare economics. ; Macroeconomics. ; FCND ;

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References

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  1. Lipton, Michael & Ravallion, Martin, 1993. "Poverty and policy," Policy Research Working Paper Series 1130, The World Bank.
  2. 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.
  3. Martin Ravallion & Gaurav Datt, 1995. "Is Targeting Through a Work Requirement Efficient? Some Evidence for Rural India," Monash Economics Working Papers archive-41, Monash University, Department of Economics.
  4. Datt, Gaurav & Ravallion, Martin, 1996. "Why have some Indian states done better than others at reducing rural poverty?," Policy Research Working Paper Series 1594, The World Bank.
  5. Ravallion, Martin & Datt, Gaurav, 1996. "How Important to India's Poor Is the Sectoral Composition of Economic Growth?," World Bank Economic Review, World Bank Group, World Bank Group, vol. 10(1), pages 1-25, January.
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Cited by:
  1. Jha, Raghbendra, 2002. "Reducing Poverty and Inequality in India: Has Liberalization Helped?," Departmental Working Papers, The Australian National University, Arndt-Corden Department of Economics 2002-04, The Australian National University, Arndt-Corden Department of Economics.
  2. Gutner, Tammi, 1999. "The political economy of Food subsidy reform in Egypt," FCND briefs 1, International Food Policy Research Institute (IFPRI).
  3. Sumon Kumar Bhaumik & Manisha Chakrabarty, 2006. "Earnings Inequality in India: Has the Rise of Caste and Religion Based Politics in India had an Impact?," William Davidson Institute Working Papers Series 819, William Davidson Institute at the University of Michigan.
  4. Sudip Ranjan Basu, 2004. "Economic Growth, Well-Being and Governance under Economic Reforms: Evidence from Indian States," IHEID Working Papers, Economics Section, The Graduate Institute of International Studies 05-2004, Economics Section, The Graduate Institute of International Studies.
  5. Raghbendra Jha, 2002. "Rural Poverty in India: Structure, determinants and suggestions for policy reform," ASARC Working Papers, The Australian National University, Australia South Asia Research Centre 2002-07, The Australian National University, Australia South Asia Research Centre.
  6. Raghbendra Jha, 2006. "Vulnerability of Consumption Growth in Rural India," ASARC Working Papers, The Australian National University, Australia South Asia Research Centre 2006-04, The Australian National University, Australia South Asia Research Centre.
  7. Hazell, P. B. R. & Haddad, Lawrence James, 2001. "Agricultural research and poverty reduction:," 2020 vision discussion papers, International Food Policy Research Institute (IFPRI) 34, International Food Policy Research Institute (IFPRI).
  8. Gerald Epstein & Ilene Grabel, 2007. "Financial Policy," Publications, International Policy Centre for Inclusive Growth 3, International Policy Centre for Inclusive Growth.
  9. T. Krishna Kumar & Sushanta Mallick & Jayarama Holla, 2007. "Estimating Consumption Deprivation in India using Survey Data: A State-Level Rural-Urban Analysis before and during Reform Period," Working Papers 7, Queen Mary, University of London, School of Business and Management, Centre for Globalisation Research.
  10. Datt, Gaurav & Ravallion, Martin, 1998. "Farm productivity and rural poverty in India," FCND discussion papers, International Food Policy Research Institute (IFPRI) 42, International Food Policy Research Institute (IFPRI).
  11. Quibria, M.G., 2002. "Growth and Poverty: Lessons from the East Asian Miracle Revisited," MPRA Paper 2638, University Library of Munich, Germany.
  12. Datt, Gaurav, 1998. "Poverty in India and Indian states," FCND discussion papers, International Food Policy Research Institute (IFPRI) 47, International Food Policy Research Institute (IFPRI).
  13. Surajit Deb, 2002. "The Debate on Agriculture-Industry Terms of Trade in India," Working papers 109, Centre for Development Economics, Delhi School of Economics.
  14. Ravallion, Martin & Datt, Gaurav, 2002. "Why has economic growth been more pro-poor in some states of India than others?," Journal of Development Economics, Elsevier, vol. 68(2), pages 381-400, August.
  15. World Bank, 2007. "Ethiopia - Accelerating Equitable Growth : Country Economic Memorandum, Part 2. Thematic Chapters," World Bank Other Operational Studies 7866, The World Bank.

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