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Not All Growth is Equally Good for the Poor: The Case of Zambia

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  • James Thurlow
  • Peter Wobst

Abstract

Cross-country studies typically find growth to be the best means of alleviating poverty, with a less important role attributed to reducing inequality. However, shifts in the structure of growth can lead to very difficult poverty outcomes, with different population groups participating in the growth process. This article uses an applied general equilibrium and micro-simulation model to examine how the sectoral structure of growth in Zambia influences the degree of poverty reduction. Drawing on the country's recent growth history, the effects of accelerating growth in agriculture, mining and manufacturing are compared. Despite high urban poverty, a return to urban-based mining and manufacturing is found to be less favourable than faster intensification and diversification of agriculture, although broad-based growth is required for long-term poverty reduction. Therefore, while growth in general may be good for the poor, it is found that that not all growth is equally good. Copyright 2006, Oxford University Press.

Suggested Citation

  • James Thurlow & Peter Wobst, 2006. "Not All Growth is Equally Good for the Poor: The Case of Zambia," Journal of African Economies, Centre for the Study of African Economies (CSAE), vol. 15(4), pages 603-625, December.
  • Handle: RePEc:oup:jafrec:v:15:y:2006:i:4:p:603-625
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    Citations

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    Cited by:

    1. Arias-Vazquez, Francisco Javier & Lee, Jean Nahrae & Newhouse, David, 2012. "The Role of Sectoral Growth Patterns in Labor Market Development," IZA Discussion Papers 6926, Institute for the Study of Labor (IZA).
    2. Begum, Syeda Shahanara & Deng, Quheng & Gustafsson, Björn, 2012. "Economic growth and child poverty reduction in Bangladesh and China," Journal of Asian Economics, Elsevier, vol. 23(1), pages 73-85.
    3. Thurlow, James & Zhu, Tingju & Diao, Xinshen, 2009. "The impact of climate variability and change on economic growth and poverty in Zambia:," IFPRI discussion papers 890, International Food Policy Research Institute (IFPRI).
    4. Dorosh, Paul A. & Thurlow, James, 2014. "Beyond agriculture versus nonagriculture: Decomposing sectoral growth–poverty linkages in five African countries:," IFPRI discussion papers 1391, International Food Policy Research Institute (IFPRI).
    5. repec:eee:wdevel:v:109:y:2018:i:c:p:440-451 is not listed on IDEAS
    6. Douillet, Mathilde, 2012. "Trade and agricultural policies in Malawi: Not all policy reform is equally good for the poor," MPRA Paper 40948, University Library of Munich, Germany.
    7. Hichaambwa, Munguzwe & Jayne, T. S., 2014. "Poverty Reduction Potential of Increasing Smallholder Access to Land," Food Security Collaborative Working Papers 171873, Michigan State University, Department of Agricultural, Food, and Resource Economics.
    8. Diao, Xinshen & Hazell, Peter & Thurlow, James, 2010. "The Role of Agriculture in African Development," World Development, Elsevier, vol. 38(10), pages 1375-1383, October.
    9. Carmody, Pádraig, 2009. "An Asian-Driven Economic Recovery in Africa? The Zambian Case," World Development, Elsevier, vol. 37(7), pages 1197-1207, July.
    10. Begum, Syeda Shahanara & Deng, Quheng & Gustafsson, Björn Anders, 2011. "Economic Growth and Child Poverty Reduction in Bangladesh and China," IZA Discussion Papers 5929, Institute for the Study of Labor (IZA).
    11. Resnick, Danielle & Thurlow, James, 2014. "The political economy of Zambia’s recovery: Structural change without transformation?:," IFPRI discussion papers 1320, International Food Policy Research Institute (IFPRI).
    12. Hannah Schuerenberg-Frosch, 2015. "How to Model a Child in School? A Dynamic Macrosimulation Study for Tanzania," South African Journal of Economics, Economic Society of South Africa, vol. 83(1), pages 117-139, March.

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