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When is growth pro-poor? Evidence from the diverse experiences of India's states

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  • Ravallion, Martin
  • Datt, Gaurav

Abstract

The authors use 20 household surveys for India's 15 major states, spanning 1960-94, to study how initial conditions and the sectoral composition of economic growth interact to influence how much economic growth reduced poverty. The elasticities of measured poverty to farm yields and development spending did not differ significantly across states. But the elasticities of poverty to (urban and rural) non-farm output varied appreciably, and the differences were quantitatively important to the overall rate of poverty reduction. States with initially lower farm productivity, lower rural living standards relative to those in urban areas, and lower literacy experienced a less pro-poor growth process.

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Bibliographic Info

Paper provided by The World Bank in its series Policy Research Working Paper Series with number 2263.

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Date of creation: 31 Dec 1999
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Handle: RePEc:wbk:wbrwps:2263

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Keywords: Environmental Economics&Policies; Services&Transfers to Poor; Public Health Promotion; Economic Conditions and Volatility; Health Monitoring&Evaluation; Governance Indicators; Rural Poverty Reduction; Achieving Shared Growth; Poverty Assessment; Environmental Economics&Policies;

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  1. Anand, Sudhir & Kanbur, S. M. R., 1993. "The Kuznets process and the inequality--development relationship," Journal of Development Economics, Elsevier, Elsevier, vol. 40(1), pages 25-52, February.
  2. Atkinson, A-B, 1996. "Bringing Income Distribution in from the Cold," Economics Papers 117, Economics Group, Nuffield College, University of Oxford.
  3. Robinson, Sherman, 1976. "A Note on the U Hypothesis Relating Income Inequality and Economic Development," American Economic Review, American Economic Association, American Economic Association, vol. 66(3), pages 437-40, June.
  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. Lipton, Michael & Ravallion, Martin, 1995. "Poverty and policy," Handbook of Development Economics, Elsevier, in: Hollis Chenery & T.N. Srinivasan (ed.), Handbook of Development Economics, edition 1, volume 3, chapter 41, pages 2551-2657 Elsevier.
  6. Hongyi Li & Lyn Squire & Heng-fu Zou, 1998. "Explaining International and Intertemporal Variations in Income Inequality," CEMA Working Papers, China Economics and Management Academy, Central University of Finance and Economics 73, China Economics and Management Academy, Central University of Finance and Economics.
  7. Bourguignon, Francois & Morrisson, Christian, 1998. "Inequality and development: the role of dualism," Journal of Development Economics, Elsevier, Elsevier, vol. 57(2), pages 233-257.
  8. Ravallion, Martin & Shaohua Chen, 1996. "What can new survey data tell us about recent changes in distribution and poverty?," Policy Research Working Paper Series 1694, The World Bank.
  9. Roland Benabou, 1996. "Inequality and Growth," NBER Working Papers 5658, National Bureau of Economic Research, Inc.
  10. Binswanger, Hans P. & Deininger, Klaus & Feder, Gershon, 1993. "Power, distortions, revolt, and reform in agricultural land relations," Policy Research Working Paper Series 1164, The World Bank.
  11. Thorbecke, Erik & Jung, Hong-Sang, 1996. "A multiplier decomposition method to analyze poverty alleviation," Journal of Development Economics, Elsevier, Elsevier, vol. 48(2), pages 279-300, March.
  12. Bruno, Michael & Ravallion, Martin & Squire, Lyn, 1996. "Equity and growth in developing countries : old and new perspectives on the policy issues," Policy Research Working Paper Series 1563, The World Bank.
  13. 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.
  14. 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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