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Structural Adjustment and the Welfare of Rural Smallholders: A Comparative Analysis from Sub-Saharan Africa

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  • Sahn, David E
  • Sarris, Alexander H

Abstract

The direction and level of changes in real incomes brought about by structural adjustment are determined by a variety of factors, including sources of income, patterns of expenditures, and movements in relative prices in the wake of adjustment. An econometric model is used to derive an index of real income, which is employed for data from Cote d'Ivoire, Ghana, Malawi, Madagascar, and Tanzania. No systematic changes in relative prices, and especially in the ratio of tradable to nontradable prices, were noted after the beginning of adjustment, although the diversity of income sources implies that the implications of movements in relative prices on smallholder welfare are indeed complex. The results indicate that there is no unequivaocal pattern of increase or decline in the real welfare of the rural poor but that there are marked differences among countries and regions. Copyright 1991 by Oxford University Press.

Suggested Citation

  • Sahn, David E & Sarris, Alexander H, 1991. "Structural Adjustment and the Welfare of Rural Smallholders: A Comparative Analysis from Sub-Saharan Africa," World Bank Economic Review, World Bank Group, vol. 5(2), pages 259-289, May.
  • Handle: RePEc:oup:wbecrv:v:5:y:1991:i:2:p:259-89
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    Cited by:

    1. Kanbur, Ravi, 2000. "Income distribution and development," Handbook of Income Distribution,in: A.B. Atkinson & F. Bourguignon (ed.), Handbook of Income Distribution, edition 1, volume 1, chapter 13, pages 791-841 Elsevier.
    2. Depetris Chauvin, Nicolas & Porto, Guido G., 2011. "Market Competition in Export Cash Crops and Farm Income," 2012 Conference, August 18-24, 2012, Foz do Iguacu, Brazil 126159, International Association of Agricultural Economists.
    3. Brambilla, Irene & Porto, Guido, 2016. "Trade, Poverty Eradication, and the Sustainable Development Goals," ADBI Working Papers 629, Asian Development Bank Institute.
    4. Schmitz, P. Michael, 1991. "Do Developed Exporting Countries Contribute To Food Security? The Case Of The Ec," Staff Papers 13351, University of Minnesota, Department of Applied Economics.
    5. repec:rss:jnljee:v3i5p6 is not listed on IDEAS
    6. Christophe Muller, 2005. "Poverty and inequality under income and price dispersions," Canadian Journal of Economics, Canadian Economics Association, vol. 38(3), pages 979-998, August.
    7. Daniel Lederman & Guido Porto, 2016. "The Price Is Not Always Right: On the Impacts of Commodity Prices on Households (and Countries)," World Bank Research Observer, World Bank Group, vol. 31(1), pages 168-197.
    8. Broadberry, Stephen & Gardner, Leigh, 2016. "Economic Development In Africa And Europe: Reciprocal Comparisons," Revista de Historia Económica, Cambridge University Press, vol. 34(01), pages 11-37, March.
    9. Christophe Muller, 2006. "Poverty Simulation And Price Changes," Working Papers. Serie AD 2006-13, Instituto Valenciano de Investigaciones Económicas, S.A. (Ivie).
    10. Schmitz, Michael, 1997. "Cap and Food Security," Occasional Paper Series No. 7 198056, International Association of Agricultural Economists.
    11. De Maio, Lorenzo & Stewart, Frances & van der Hoeven, Rolph, 1999. "Computable General Equilibrium Models, Adjustment and the Poor in Africa," World Development, Elsevier, vol. 27(3), pages 453-470, March.
    12. Cadot, Olivier & de Melo, Jaime & Dutoit, Laure, 2006. "The Elimination of Madagascar's Vanilla Marketing Board, Ten Years On," CEPR Discussion Papers 5548, C.E.P.R. Discussion Papers.
    13. Ivy Drafor & Glen Filson & Ellen Goddard, 2000. "Cereal producers and the structural adjustment programme (SAP) in Ghana: A welfare analysis of the first decade of SAP," Development Southern Africa, Taylor & Francis Journals, vol. 17(4), pages 489-499.
    14. Margaret E. Grosh & Paul Glewwe, 1998. "Data Watch: The World Bank's Living Standards Measurement Study Household Surveys," Journal of Economic Perspectives, American Economic Association, vol. 12(1), pages 187-196, Winter.
    15. Minot, Nicholas W., 1997. "Devaluation and Household Welfare in Rwanda," Occasional Paper Series No. 7 198190, International Association of Agricultural Economists.
    16. Haddad, Lawrence & Brown, Lynn R. & Richter, Andrea & Smith, Lisa, 1995. "The gender dimensions of economic adjustment policies: Potential interactions and evidence to date," World Development, Elsevier, vol. 23(6), pages 881-896, June.
    17. Lisa C. SMITH, 1994. "Structural Adjustment And Welfare In Rural Africa: The Role Of Resource Control In Households," Staff Papers 368, University of Wisconsin Madison, AAE.

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