IDEAS home Printed from https://ideas.repec.org/a/pid/journl/v36y1997i1p39-68.html
   My bibliography  Save this article

Macroeconomic Policies and their Impact on Poverty Alleviation in Pakistan

Author

Listed:
  • Rashid Amjad

    (International Labour Office, Geneva, Switzerland.)

  • A.R. Kemal

    (The Planning Commission, Government of Pakistan, Islamabad.)

Abstract

The paper provides a consistent time-series of poverty estimates for the period 1963- 64 to 1992-93 for both the rural as well as the urban areas, examines the influence of macroeconomic policies on the poverty levels, analyses the impact of Structural Adjustment Programmes on the levels of poverty, and suggests a strategy for poverty alleviation in Pakistan. The paper explores in particular the influence on poverty of such factors as economic growth, agricultural growth, terms of trade for the agriculture sector, industrial production, rate of inflation, employment, wages, remittances, and the tax structure. While the paper cautions that on account of the limited number of observations the results of the study should be interpreted cautiously, the study does suggest that the growth above a threshold level of about 5 percent, increase in employment, and remittances are the most important variables explaining the change in poverty over time. The paper also comes to the conclusion that the policies pursued under the Structural Adjustment Programme have tended to increase the poverty levels mainly because of decline in growth rates, withdrawal of subsidies on agricultural inputs and consumption, decline in employment, increase in indirect taxes, and decline in public expenditure on social services. The paper also outlines a strategy for poverty eradication and argues that besides the safety nets, the employment programmes, as well as promotion of informal sector enterprises, are essential.

Suggested Citation

  • Rashid Amjad & A.R. Kemal, 1997. "Macroeconomic Policies and their Impact on Poverty Alleviation in Pakistan," The Pakistan Development Review, Pakistan Institute of Development Economics, vol. 36(1), pages 39-68.
  • Handle: RePEc:pid:journl:v:36:y:1997:i:1:p:39-68
    as

    Download full text from publisher

    File URL: http://www.pide.org.pk/pdf/PDR/1997/Volume1/39-68.pdf
    Download Restriction: no

    References listed on IDEAS

    as
    1. M. Shaukat Ali, 1995. "Poverty Assessment: Pakistan's Case," The Pakistan Development Review, Pakistan Institute of Development Economics, vol. 34(1), pages 43-54.
    2. S.M. Naseem, 1973. "Mass Poverty in Pakistan. Some Preliminary Findings," The Pakistan Development Review, Pakistan Institute of Development Economics, vol. 12(4), pages 317-360.
    3. MUHAMMAD HUSSAIN MALlK, 1988. "Some New Evidence on the Incidence of Poverty in Pakistant," The Pakistan Development Review, Pakistan Institute of Development Economics, vol. 27(4), pages 509-515.
    4. Muhammad Hussain Malik & Najam Us Saqib, 1989. "Tax Incidence by Income Classes in Pakistan," The Pakistan Development Review, Pakistan Institute of Development Economics, vol. 28(1), pages 13-26.
    5. Moazam Mahmood, 1991. "Growth and Distribution of Agrarian Assets in the Punjab," The Pakistan Development Review, Pakistan Institute of Development Economics, vol. 30(4), pages 1007-1027.
    Full references (including those not matched with items on IDEAS)

    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:pid:journl:v:36:y:1997:i:1:p:39-68. 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: (Khurram Iqbal). General contact details of provider: http://edirc.repec.org/data/pideipk.html .

    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.