Chronic and Transitory Poverty in Pakistan: Evidence from a Longitudinal Household Survey
This paper analyses the incidence of chronic and transitory poverty in Pakistan in both urban and rural settings. The findings of this study are that rural poverty is more severe and also chronic as compared to transitory poverty in urban centres. The main factor behind the phenomenon is the homogeneity of the rural set-up which affects the employment and wage levels adversely. On the other hand, in the urban areas, heterogeneous population with diverse occupations provides better employment and wage opportunities. Furthermore, landlessness, lack of ownership of dwellings, and dependency on sharecropping are the three main factors accentuating rural poverty. The paper also analyses the zakat element of the safety net strategy. Contrary to the prevailing perception that zakat does not reach the actually poor, it turns out that in fact zakat has become an ?identification mark? for the absolute poor. The findings of this paper have very strong implications for the poverty reduction strategy of the Government of Pakistan.
|Date of creation:||2006|
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