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Pro Poor Growth in Pakistan: An Assessment of the 1970s, 1980s, 1990s and 2000s


  • Omer, Muhammad
  • Jafri, Sarah


This study assesses the impact of economic growth on absolute poverty in Pakistan over the last four decades. The paper attempts to answer the question; is economic growth in Pakistan pro poor? In addition, an attempt is made to evaluate the distribution of income within the poor to determine the sensitivity of different income groups, below the poverty line, to economic growth. The assessments are conducted through Growth Incidence Curves, a calculation of the Rate of Pro-Poor Growth (RPPG) and the Ordinary Rate of Growth (ORG). it is found that the economic growth in Pakistan is not intrinsically pro poor. Although it was strongly pro poor in the 1980’s and pro poor in the 2000s, growth in the 1970s was neutral for poverty whereas growth in the 1990s was anti poor. The analysis shows that the first decile is most sensitive to economic growth and most vulnerable to economic shocks as well.

Suggested Citation

  • Omer, Muhammad & Jafri, Sarah, 2008. "Pro Poor Growth in Pakistan: An Assessment of the 1970s, 1980s, 1990s and 2000s," MPRA Paper 36738, University Library of Munich, Germany.
  • Handle: RePEc:pra:mprapa:36738

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    References listed on IDEAS

    1. Robert G. King & Ross Levine, 1993. "Finance and Growth: Schumpeter Might Be Right," The Quarterly Journal of Economics, Oxford University Press, vol. 108(3), pages 717-737.
    2. Ross Levine, 1997. "Financial Development and Economic Growth: Views and Agenda," Journal of Economic Literature, American Economic Association, vol. 35(2), pages 688-726, June.
    3. Hanif, Muhammad N. & Jafri, Sabina K., 2006. "Financial Development and Textile Sector Competitiveness: A Case Study of Pakistan," MPRA Paper 10271, University Library of Munich, Germany.
    4. Beck, Thorsten, 2002. "Financial development and international trade: Is there a link?," Journal of International Economics, Elsevier, vol. 57(1), pages 107-131, June.
    5. James B. Ang, 2008. "A Survey Of Recent Developments In The Literature Of Finance And Growth," Journal of Economic Surveys, Wiley Blackwell, vol. 22(3), pages 536-576, July.
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    More about this item


    Pro Poor Growth; Pakistan; Growth Incidence Curve;

    JEL classification:

    • I3 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty
    • I32 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty - - - Measurement and Analysis of Poverty


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