IDEAS home Printed from https://ideas.repec.org/a/bla/kyklos/v59y2006i4p601-610.html
   My bibliography  Save this article

Growth Elasticity of Poverty: Alternative Estimates and a Note of Caution

Author

Listed:
  • Rati Ram

Abstract

Estimates of the elasticity of headcount poverty with respect to income suggested in many influential studies appear too high and imply a more important role for income-growth in poverty-reduction than is appropriate. Direct estimates based on aggregate data for several different periods are much smaller at about - 1, which (in absolute terms) is no larger than one-half of those suggested in the literature. Researchers and policymakers are urged to use the lower estimate for any real-world application in a global or cross-country context. In such contexts, when per capita income increases by X percent during any period, decline in headcount poverty during the period should be expected to be of the order of X percent, and not, as most influential studies suggest, 2X percent. Copyright 2006 Blackwell Publishing Ltd..

Suggested Citation

  • Rati Ram, 2006. "Growth Elasticity of Poverty: Alternative Estimates and a Note of Caution," Kyklos, Wiley Blackwell, vol. 59(4), pages 601-610, November.
  • Handle: RePEc:bla:kyklos:v:59:y:2006:i:4:p:601-610
    as

    Download full text from publisher

    File URL: http://www.blackwell-synergy.com/links/doi/10.1111/j.1467-6435.2006.00351.x
    File Function: link to full text
    Download Restriction: Access to full text is restricted to subscribers.

    As the access to this document is restricted, you may want to search for a different version of it.

    References listed on IDEAS

    as
    1. World Bank, 2002. "World Development Indicators 2002," World Bank Publications, The World Bank, number 13921.
    Full references (including those not matched with items on IDEAS)

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. repec:rss:jnljse:v3i4p4 is not listed on IDEAS
    2. Chakrangi Lenagala & Rati Ram, 2010. "Growth elasticity of poverty: estimates from new data," International Journal of Social Economics, Emerald Group Publishing, vol. 37(12), pages 923-932, October.
    3. Lavopa, Alejandro & Szirmai, Adam, 2012. "Industrialization, employment and poverty," MERIT Working Papers 081, United Nations University - Maastricht Economic and Social Research Institute on Innovation and Technology (MERIT).
    4. Friday Ebong & Fidelis Ogwumike & Udeme Udongwo & Olumide Ayodele, 2016. "Impact of Government Expenditure on Economic Growth in Nigeria: A Disaggregated Analysis," Asian Journal of Economics and Empirical Research, Asian Online Journal Publishing Group, vol. 3(1), pages 113-121.
    5. Misselhorn, Mark & Klasen, Stephan, 2006. "Determinants of the Growth Semi-Elasticity of Poverty Reduction," Proceedings of the German Development Economics Conference, Berlin 2006 15, Verein für Socialpolitik, Research Committee Development Economics.
    6. Selomane, Odirilwe & Reyers, Belinda & Biggs, Reinette & Tallis, Heather & Polasky, Stephen, 2015. "Towards integrated social–ecological sustainability indicators: Exploring the contribution and gaps in existing global data," Ecological Economics, Elsevier, vol. 118(C), pages 140-146.
    7. Channing Arndt & Sam Jones & Finn Tarp, 2011. "Aid Effectiveness: Opening the Black Box," WIDER Working Paper Series 044, World Institute for Development Economic Research (UNU-WIDER).
    8. Oludele Akinboade & Emilie Kinfack, 2014. "An Econometric Analysis of the Relationship Between Millennium Development Goals, Economic Growth and Financial Development in South Africa," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 118(2), pages 775-795, September.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:bla:kyklos:v:59:y:2006:i:4:p:601-610. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Wiley-Blackwell Digital Licensing) or (Christopher F. Baum). General contact details of provider: http://www.blackwellpublishing.com/journal.asp?ref=0023-5962 .

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.