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Measuring Pro-Poor Growth with Non-Income Indicators

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  • Klasen, Stephan
  • Harttgen, Kenneth
  • Grosse, Melanie

Abstract

One existing shortcoming of current pro-poor growth concepts and measurements is that they are completely focused on income. But growth that is declared to be pro-poor where the measure is based only on income must not automatically imply improvement in the nonincome (or social) dimension of poverty. In our paper, we introduce the multidimensionality of poverty into the pro-poor growth measurement by applying the growth incidence curve to non-income indicators. We investigate if growth in non-income indicators was absolutely and relatively pro-poor. Furthermore, we investigate if the incomepoor benefited from social improvements in linking the development of non-income indicators to the position in the income distribution. We illustrate this empirically for Bolivia between 1989 and 1998 and find that growth was pro-poor both in the income and in the non-income dimension, but results are less clear for the non-income development of the income-poor. --

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Paper provided by Verein für Socialpolitik, Research Committee Development Economics in its series Proceedings of the German Development Economics Conference, Kiel 2005 with number 22.

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Date of creation: 2005
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Handle: RePEc:zbw:gdec05:3495

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Keywords: Pro-Poor Growth; Multidimensionality of Poverty; Growth Incidence Curve; Bolivia.;

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  1. Jean-Yves Duclos & Quentin Wodon, 2004. "What is "Pro-Poor"?," Cahiers de recherche, CIRPEE 0425, CIRPEE.
  2. Bourguignon, F. & Chakravarty, S.R., 1998. "The Measurement of Multidimensional Poverty," DELTA Working Papers, DELTA (Ecole normale supérieure) 98-12, DELTA (Ecole normale supérieure).
  3. Thomas, Vinod & Wang, Yan & Fan, Xibo, 2001. "Measuring education inequality - Gini coefficients of education," Policy Research Working Paper Series, The World Bank 2525, The World Bank.
  4. 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, Elsevier, vol. 68(2), pages 381-400, August.
  5. Lanjouw, Peter & Ravallion, Martin, 1998. "Benefit incidence and the timing of program capture," Policy Research Working Paper Series, The World Bank 1956, The World Bank.
  6. Stephan Klasen & Melanie Grosse & Rainer Thiele & Jann Lay & Julius Spatz & Manfred Wiebelt, 2004. "Operationalizing Pro-Poor Growth - Country Case Study: Bolivia," Ibero America Institute for Econ. Research (IAI) Discussion Papers, Ibero-America Institute for Economic Research 101, Ibero-America Institute for Economic Research.
  7. Mukherjee, Diganta, 2001. "Measuring multidimensional deprivation," Mathematical Social Sciences, Elsevier, Elsevier, vol. 42(3), pages 233-251, November.
  8. Ravallion, Martin & Chen, Shaohua, 2003. "Measuring pro-poor growth," Economics Letters, Elsevier, Elsevier, vol. 78(1), pages 93-99, January.
  9. Osberg, L., 1998. "Schooling, Literacy and Individual Earnings," Department of Economics at Dalhousie University working papers archive, Dalhousie, Department of Economics 98-06, Dalhousie, Department of Economics.
  10. van de Walle, Dominique, 1998. "Assessing the welfare impacts of public spending," World Development, Elsevier, Elsevier, vol. 26(3), pages 365-379, March.
  11. Ehrlich, Isaac & Lui, Francis, 1997. "The problem of population and growth: A review of the literature from Malthus to contemporary models of endogenous population and endogenous growth," Journal of Economic Dynamics and Control, Elsevier, Elsevier, vol. 21(1), pages 205-242, January.
  12. Basu, Kaushik & Foster, James E, 1998. "On Measuring Literacy," Economic Journal, Royal Economic Society, Royal Economic Society, vol. 108(451), pages 1733-49, November.
  13. Sen, Amartya, 1988. "The concept of development," Handbook of Development Economics, Elsevier, in: Hollis Chenery & T.N. Srinivasan (ed.), Handbook of Development Economics, edition 1, volume 1, chapter 1, pages 9-26 Elsevier.
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Cited by:
  1. Kenneth Harttgen & Stephan Klasen & Mark Misselhorn, 2010. "Pro-Poor Progress in Education in Developing Countries?," Review of Economics and Institutions, Università di Perugia, Università di Perugia, vol. 1(1).
  2. Komsan Suriya, 2012. "Modeling the linkage between tourism and multiple dimensions of poverty in Thailand," The Empirical Econometrics and Quantitative Economics Letters, Faculty of Economics, Chiang Mai University, Faculty of Economics, Chiang Mai University, vol. 1(1), pages 17-38, March.
  3. Melanie Grosse & Kenneth Harttgen & Stephan Klasen, 2006. "Measuring Pro-Poor Progress towards the Non-Income Millennium Development Goals," Ibero America Institute for Econ. Research (IAI) Discussion Papers, Ibero-America Institute for Economic Research 144, Ibero-America Institute for Economic Research.
  4. Kacem, Rami Ben Haj, 2012. "Monetary versus non-monetary pro-poor growth: Evidence from rural Ethiopia between 2004 and 2009," Economics Discussion Papers, Kiel Institute for the World Economy 2012-62, Kiel Institute for the World Economy.
  5. Kacem, Rami Ben Haj, 2013. "Monetary versus non-monetary pro-poor growth: Evidence from rural Ethiopia between 2004 and 2009," Economics - The Open-Access, Open-Assessment E-Journal, Kiel Institute for the World Economy, Kiel Institute for the World Economy, vol. 7(26), pages 1-22.
  6. Maria Carmela Lo Bue & Stephan Klasen, 2012. "Identifying synergies and complementarities between MDGs: Results from cluster analysis," Courant Research Centre: Poverty, Equity and Growth - Discussion Papers, Courant Research Centre PEG 126, Courant Research Centre PEG.
  7. Klasen, Stephan, 2008. "Economic Growth and Poverty Reduction: Measurement Issues using Income and Non-Income Indicators," World Development, Elsevier, Elsevier, vol. 36(3), pages 420-445, March.
  8. Dorothée Boccanfuso & Jean Bosco Ki & Caroline Ménard, 2009. "Pro-Poor Growth Measurements in a Multidimensional Model: A Comparative Approach," Cahiers de recherche, Departement d'Economique de la Faculte d'administration à l'Universite de Sherbrooke 09-22, Departement d'Economique de la Faculte d'administration à l'Universite de Sherbrooke.

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