The Bottom of the Pyramid Strategy for Reducing Poverty: A Failed Promise
AbstractThe movement emphasizing free markets to reduce poverty has found strong expression in the ‘bottom of the pyramid’ approach in recent years. It views the poor as “resilient and creative entrepreneurs and value-conscious consumers”. This romanticized view of the poor harms the poor in two ways. First, it results in too little emphasis on legal, regulatory and social mechanisms to protect the poor who are vulnerable consumers. Second, it overemphasizes microcredit and underemphasizes fostering modern enterprises that would provide employment opportunities for the poor. More importantly, it grossly underemphasizes the critical role and responsibility of the state in poverty reduction.
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Bibliographic InfoPaper provided by United Nations, Department of Economics and Social Affairs in its series Working Papers with number 80.
Length: 14 pages
Date of creation: Aug 2009
Date of revision:
Poverty reduction; bottom of pyramid; consumption choices; micro-entrepreneurs;
Find related papers by JEL classification:
- O10 - Economic Development, Technological Change, and Growth - - Economic Development - - - General
- I30 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty - - - General
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