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Monetary versus non-monetary pro-poor growth: Evidence from rural Ethiopia between 2004 and 2009

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  • Kacem, Rami Ben Haj

Abstract

The aim of this paper is to contribute to the debate on the pro-poor growth measurement techniques using monetary versus non-monetary indicators. In this context, an alternative method for introducing non-monetary indicators into monetary pro-poor growth analysis is presented. The method is based on the definition of a Conditional Growth Incidence Curve for each group of households with a common selected non-monetary characteristic. Additional information provided by the Conditional Growth Incidence Curve is useful for a more detailed pro-poor growth analysis. Empirical illustration using data from rural Ethiopia between 2004 and 2009 shows the utility and the limits of each measurement technique.

Suggested Citation

  • Kacem, Rami Ben Haj, 2012. "Monetary versus non-monetary pro-poor growth: Evidence from rural Ethiopia between 2004 and 2009," Economics Discussion Papers 2012-62, Kiel Institute for the World Economy (IfW).
    • Handle: RePEc:zbw:ifwedp:201262
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    References listed on IDEAS

    as
    1. Dercon, Stefan, 2004. "Growth and shocks: evidence from rural Ethiopia," Journal of Development Economics, Elsevier, vol. 74(2), pages 309-329, August.
    2. Ahluwalia, Montek S, 1976. "Income Distribution and Development: Some Stylized Facts," American Economic Review, American Economic Association, vol. 66(2), pages 128-135, May.
    3. Dercon, Stefan, 2006. "Economic reform, growth and the poor: Evidence from rural Ethiopia," Journal of Development Economics, Elsevier, vol. 81(1), pages 1-24, October.
    4. Melanie Grosse & Kenneth Harttgen & Stephan Klasen, 2005. "Measuring Pro-Poor Growth with Non-Income Indicators," Ibero America Institute for Econ. Research (IAI) Discussion Papers 132, Ibero-America Institute for Economic Research.
    5. Ravallion, Martin & Chen, Shaohua, 2003. "Measuring pro-poor growth," Economics Letters, Elsevier, vol. 78(1), pages 93-99, January.
    6. Ahluwalia, Montek S., 1976. "Inequality, poverty and development," Journal of Development Economics, Elsevier, vol. 3(4), pages 307-342, December.
    7. Nanak Kakwani & Hyun H. Son, 2008. "Poverty Equivalent Growth Rate," Review of Income and Wealth, International Association for Research in Income and Wealth, vol. 54(4), pages 643-655, December.
    8. Datt, Gaurav & Ravallion, Martin, 1992. "Growth and redistribution components of changes in poverty measures : A decomposition with applications to Brazil and India in the 1980s," Journal of Development Economics, Elsevier, vol. 38(2), pages 275-295, April.
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    More about this item

    Keywords

    pro-poor growth; multidimensionality of poverty; growth incidence curve;

    JEL classification:

    • D30 - Microeconomics - - Distribution - - - General
    • I30 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty - - - General
    • O12 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Microeconomic Analyses of Economic Development

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