A Counterfactual Analysis Of The Poverty Impact Of Economic Growth In Cameroon : A Counterfactual Analysis Of The Poverty Impact Of Economic Growth In Cameroon

A salient theme in D. Gale Johnson’s work is the importance of agricultural development for general prosperity and for economic diversification (e.g., Johnson 2000). Johnson has also noted that most of the world’s poor are engaged in farming, so that a key focus of development policy is to raise the incomes of farmers. From a global perspective, increasing the productivity of agriculture, given the fixity of land, is necessary for both poverty reduction and the development of the nonagricultural sector. At the level of the world, agricultural productivity gains, poverty reduction, and the growth of the nonfarm sector are complements. However, the question remains whether these observations imply that every poor country should focus its public resources on agricultural development in order to raise the incomes of people now engaged in farming and whether such a policy is necessary for obtaining economic diversity. In this article, we use the experience of India over the past 30 years to address the issue of whether agricultural technical change actually leads to economic diversification and income growth within the rural sector in the context of an open-economy country in which there are cross-area trade and capital flows. We focus in particular on the rural sector because this is the sector in which linkages between agricultural and nonagricultural sectors are thought to be the strongest. We exploit the fact that India has maintained a policy of openness with respect to agricultural technology over this period, permitting and actively supporting agricultural development, and has moved to a reformed regime in which goods are traded and capital is more mobile in the 1990s. Evidence on the relationship between agricultural growth and nonfarm

In 2004 the United Nations University World Institute for Development Economics Research (UNU-WIDER) embarked on a large-scale research project on the ‘Impact of Globalization on the World’s Poor’ co-directed by Machiko Nissanke and Erik Thorbecke. The first conference was essentially conceptual in nature, meant to understand better the various mechanisms and channels through which globalization affects the poor either directly or indirectly. The other three conferences focused on each of the major regions of the developing world: Asia, Africa and Latin America. Theobjectivesofthisintroductionarethreefold:first,toreviewbrieflyhow the forces of globalization influence poverty in general; second, to describe and discuss the main transmission channels and mechanisms; and third to analyze the impact of globalization on Africa and present an overview of the six Africa case studies included in this issue. 1. The Impact of Globalization on the World’s Poor Globalization provides a strong potential for a major reduction in poverty in the developing world because it creates an environment conducive to fastereconomicgrowthandtransmissionofknowledge. 1 However,structural factors and policies within the world economy and national economies have impeded the full transmission of the benefits of the various channels of globalization for poverty reduction. In particular sub-Saharan Africa (SSA) hasbeenrelativelylessaffectedbytheforcesofglobalizationthanotherparts of the world. World income distribution continues to be very unequal and many poor countries particularly in Africa are stagnating. Moreover, there is much empirical evidence that openness contributes to more within-country

Internal and external migration can have a profound impact on rural asset accumulation in most Third World countries. In many African, Asian, and Latin American countries the bulk of the labor force still lives in the countryside. In these countries the large difference between expected rural and urban or foreign incomes, coupled with the risk-reducing functions of migration, causes workers to migrate, either to urban centers or abroad. The remittances—defined as the money or goods sent home by migrant workers—can have a large effect on the accumulation of assets in these rural areas. For example, an inflow of external remittances to rural households at the upper end of the income distribution could increase land accumulation by the rich. In general terms the effect of remittances on asset accumulation in a rural Third World economy depends on answers to three questions: (a) Who migrates? (b) How much net income do migrants remit? and (c) What are the marginal effects of these remittances on household consumption and investment? Because of data limitations, in this article I propose to examine only the first and the third questions; other researchers have addressed the second issue. In the past surprisingly little attention has been focused on the question of the marginal effects of remittances on household consumption and investment in the rural Third World. This inattention has been due to three considerable methodological problems. The first is fungibility; because remittances are like any other form of cash income, it is difficult to associate this income source with any particular changes in household expenditure behavior. The second problem relates to the multiple-round effects of remittances on the local economy. For example, an inflow of remittances into a rural area may lead to a surge in expenditures in housing, which may, in turn, create new income and employment opportunities for the poor and unskilled. Unfortunately, however, few studies have

Eliminating poverty and reducing income inequality is the most difficult task of economic policy making when considered with an economic growth. Therefore, the impacts of economic growth and development on income distribution largely depend on the growth model. Thus, determining an effect of economic growth on poverty is uncertain and relies on its country's growth pattern. The basic question of this paper which we are looking for is that have economic growth and income distribution had an impact on the poverty in Iran? To respond the question, we employed fuzzy regression for analyzing the variables relationship. The article also under the fuzzy logic presents an analytical framework at the aim of appraising the relationship between poverty, income distribution and economic growth. The results show that there is a positive relationship between the economic growth and poverty, in other words the economic growth has had negative impacts on the poverty reduction in Iran. Computational results based on fuzzy logic in Iran implies that the most ideal conditions come when the economic growth is 8 percent on overage and Gini coefficient is nearly 38.5 percent .Eliminating poverty and reducing income inequality is the most difficult task of economic policy making when considered with an economic growth. Therefore, the impacts of economic growth and development on income distribution largely depend on the growth model. Thus, determining an effect of economic growth on poverty is uncertain and relies on its country's growth pattern. The basic question of this paper which we are looking for is that have economic growth and income distribution had an impact on the poverty in Iran? To respond the question, we employed fuzzy regression for analyzing the variables relationship. The article also under the fuzzy logic presents an analytical framework at the aim of appraising the relationship between poverty, income distribution and economic growth. The results show that there is a positive relationship between the economic growth and poverty, in other words the economic growth has had negative impacts on the poverty reduction in Iran. Computational results based on fuzzy logic in Iran implies that the most ideal conditions come when the economic growth is 8 percent on overage and Gini coefficient is nearly 38.5 percent .

Green Revolution, Human Capital, and Off‐Farm Employment: Changing Sources of Income among Farm Households in Central Luzon, 1966–1994

The Republic of Ghana is one of the most economically developed countries in West Africa. In the past 10 years, Ghana’s economy has maintained a sound momentum and strong economic growth. The Republic of Ghana regards foreign direct investment (FDI) as a key factor in promoting its economic growth. This article separates economic growth, employment and poverty reduction, and focuses on the single impact of foreign direct investment (FDI) on Ghana’s economic growth, employment and poverty. The research in this article shows that foreign direct investment can promote the economic development of Ghana, and foreign direct investment can increase employment opportunities in Ghana and reduce poverty at the same time. Finally, this article gives corresponding recommendations based on the research conclusions: In maintaining sustainable economic growth, favorable policies should be adopted to encourage and support Ghana, so as to attract more foreign direct investment to stimulate economic growth.

Objective - Strong economic growth is an accomplishment that is always awaited and targeted by a country or region. However, whether or not this economic growth has been in line with the reduction in poverty, the decrease in unemployed people, and the provision of many and quality jobs is still in question. Hence, the problem that needs to be investigated is whether the province of Jambi has been in inclusive economic growth and what factors are calculated and analysed for inclusion. Methodology - The method and data used are the adaptation of the main variables used by the Asian Development Bank (ADB), and the measure of the quality of economic growth is assessed from the IGI (Inclusive Growth Index). There is no previous research that scrutinized the Inclusive Growth of Jambi Province. Findings - The results show that IGI of Jambi Province has an increasing trend during the 2016 – 2020 period, although it is stagnant at a satisfactory level of progress. In relation to the level of satisfaction in 2019, it experienced growth compared to the previous year accompanied by an increase in several sub-dimensions such as the sub-dimension of productive workforce, economic infrastructure, poverty, health, education, sanitation and social protection. Meanwhile, the level of satisfaction with economic growth grew negatively, as well as the sub-dimensions of gender equality and constant income inequality. Type of Paper - Empirical Keywords: Economic Growth; IGI; Inclusive Economic; Jambi JEL Classification: O11, O4

The paper examines the socio-economic impact of informal financial sector and inclusive growth in north central –Nigeria. The notion behind inclusive growth entails analysis how employment opportunities arise and change with growth process with time. Economic growth can be accompanied by an increase in informal sector employment. Informal financial sector may support growth by reducing cost of borrowing, collateral, bureaucratic process and improving competitiveness. However, a well-functioning and regulated informal financial economy will be a critical prerequisite to achieve sustainable growth in north central-Nigeria. And also, a widespread informal financial sector with regard to employment, enterprise, and productive activities is frequently perceived as a barrier to full participation in the economy and as a hindrance to long-run economic development and poverty alleviation in this region. This is because the link between, informal financial sector, growth and inclusiveness is not fully understood. Inclusive growth has been defined as growth that takes place in a context in which economic opportunities-including employment opportunities expand, the poor’s access to these opportunities improves, and inequalities are reduced. This paper seeks to investigate the socio-economic impact of informal financial sector activities, inclusiveness’ and economic growth in north central - Nigeria. A systematic random sampling method was used to collect data from 500 informal financial sector operators in Abuja, kogi and Niger states. A multivariate panel logit model statistic was used to analyze the data in order to identify the perception of socio-economic impact of Informal financial sectors on economic growth in north central- Nigeria. The findings revealed that informal sector operators has a positive and significant impact on growth in the region; while poverty-mentality, illiteracy, high inflation, low infrastructure, access to credit, social safety nets and information dissemination are the major problems encountered by these institutions. The paper recommends among other things the education of the rural poor to embark on viable projects, infrastructural development and favorable government policies so as to regulate the sector becomes relevant

The relationship between economic growth and poverty reduction has long been researched in numerous studies around the world; yet, the results are far from being conclusive. Although it is now widely recognised that economic growth is good for poverty reduction through the trickle-down effect, alternative views still exist. This paper, therefore, investigates the dynamic causal linkage between poverty reduction and economic growth in Ethiopia during the period from 1970 to 2014. To address the omission of variable bias, the study includes financial development and investment as intermittent variables – thereby creating a multivariate Granger-causality model. The study uses two proxies to measure the level of poverty in Ethiopia, namely: household consumption expenditure and the infant mortality rate. The study further uses the newly developed autoregressive distributed lag (ARDL) bounds testing approach to cointegration and the ECM-based Granger-causality test to examine this linkage. The study finds that there is a short-run bi-directional causality between economic growth and poverty reduction – irrespective of which variable is used as a proxy for poverty reduction. However, in the long run, the study finds unidirectional causality from economic growth to poverty reduction (proxied by infant mortality rate); but it fails to find any causal relationship between household consumption expenditure and economic growth. The study, therefore, concludes that while poverty reduction and economic growth are mutually beneficial in the short run; in the long run, it is economic growth that leads to poverty reduction when the infant mortality rate is used as a proxy for poverty reduction. The study recommends that policy makers in Ethiopia should pursue both pro-poor policies and pro-economic-growth strategies in the short run; since poverty reduction and economic growth have been found to have a mutual causal relationship in the short run. It is further recommended that such policies should be complementary and mutually reinforcing. If the economic growth and poverty reduction policies are well crafted and co-ordinated; in the short run, a reduction in poverty could lead to an increase in economic growth – in a way that reinforces further reduction in poverty and inequality and benefits the population at large, while promoting higher economic growth in turn. However, in the long run, pro-growth policies should be prioritised; since economic growth has been found to Granger-cause poverty reduction in the long run. This would ensure that poverty in all its forms is reduced as far as is possible.

A study on the long-term effects and mechanisms of internet information behavior on poverty alleviation among smallholder farmers: Evidence from China

[Purpose] Based on the influence of economic growth on urban and rural residents’ grain consumption, this paper aimed at measuring the grain consumption of rural and urban residents in China. [Methods] This paper adopted co-integration model, error correction model and Granger causality test to reveal the long-term dynamic equilibrium relationship and short-term dynamic relationship between the economic growth and rural or urban residents’ grain consumption expenditure, which would help convert perceptual knowledge to rational knowledge. [Conclusions] (a) Rural or urban residents’ expenditures on grain demonstrated strong correlation with the economic growth. (b) In the short term, when the short-term fluctuations deviate from the long-term equilibrium, they would return to equilibrium with the adjustments of 0.3782 and 0.7652 respectively. (c) Economic growth is the cause of increases of rural and urban residents’ expenditures on grain, while the increases of rural or urban expenditures on grain are not the cause of economic growth.

I AM GRATEFUL for this opportunity to address the readers and staff of Small Enterprise Development. I am happy to see that the journal has already reached its tenth anniversary. During these years it has become a highly respected and relevant journal in the field of small business and microenterprise development. It has clearly demonstrated its relevance both for the research community, public institutions like NORAD as well as for the many NGOs active in this field. The journal ensures a much needed and high-quality exchange of research, experiences and ideas within this area of such high importance in our common fight against poverty. Congratulations! During the 1980s the donor community and in particular the Bretton Woods Institutions focused heavily on macroeconomic stabilization and liberalization. ‘Getting the prices right’ was seen as the key issue in creating the right framework conditions for development and growth in developing countries. Correcting price distortions is undoubtedly an important element in creating a better and more reliable investment climate. However, the experience of the 1980s demonstrated clearly that this is far from enough. There are other key obstacles to investment and growth, such as inappropriate legal frameworks, weak institutions, lack of skilled human capital, difficult access to credit and technology, and so on. These obstacles need to be addressed more directly in order to promote investment, growth and development. Furthermore, the overall objective of development assistance is poverty reduction. Economic growth is a key element in any strategy for poverty reduction. We know that there is no automatic ‘trickle down’, however, and experience has shown that the links between economic growth and poverty reduction can be weak. The pattern of growth is a determining factor for the degree of poverty reduction resulting from economic growth. Hence the kind of investments and economic activity that we promote and support has implicatons for the degree of poverty reduction that we can achieve. Since poverty reduction is our overall objective, we need to promote economic activities from which poor people benefit one way or another. Promoting income-generating activities among the poor is therefore a key element of NORAD’s strategy for poverty reduction, as well as in our strategy for private sector development which was approved in 1998. The Norwegian strategy underlines that effective support for private sector development in developing countries requires a broad approach and efforts at several levels:

Shenggen FanInternational Food Policy Research Institute and Institute of AgriculturalEconomics of the Chinese Academy of Agricultural SciencesLinxiu ZhangCenter for Chinese Agricultural Policy of the Chinese Academy of SciencesXiaobo ZhangInternational Food Policy Research InstituteI. IntroductionChina is one of the few countries in the developing world that has madeprogress in reducing its total number of poor over the past 25 years.

For decades, developing countries have depended on foreign aid to carry out their development programmes. Initially, they used this aid to fund physical infrastructure to spur economic growth, but later extended it to fund recurrent expenditure such as paying salaries for government employees and maintaining existing operations. Foreign aid “dependency” has, therefore, taken root in many developing countries and made it impossible for them to function without external assistance in terms of finances and expertise. For example, Kenya, being one of the developing countries in Sub-Sahara Africa, has been receiving aid since it attained independence from Britain in 1963. In recent times, however, the Kenyan Government with the support of the donor community has embarked on some ambitious strategies to support the agriculture sector as an engine for economic growth and poverty reduction (especially in rural areas) by promoting commercialisation’s benefits to smallholder farmers. In particular, the National Agriculture and Livestock Extension Programme (NALEP) initiative, implemented in the country since 2000, has the short-term objective to move away from handouts given to smallholder farmers as a way of reducing their dependency levels on handouts, and to encourage them to develop from subsistence to commercially oriented farming. The long-term objective is to empower farmers by providing them with the tools and knowledge to explore new and sophisticated markets for their produce. With this in mind, this study asks: is it possible to develop a framework that reflects the dynamics of commercialisation taking place in a region by providing key elements driving the potential of smallholder vegetable farmers in Kenya’s Kiambu West District to explore new markets? This study initially examined how smallholder farmers in Kenya’s Kiambu West District, who were already participating in two vegetable agrifood chains (kale and coriander), sold their produce to markets, to which markets they sold them, and what affected their market accessibility. The results from this study led to an examination of the key determinants that affected smallholder farmers’ ability to explore new and sophisticated markets for their produce. The study’s key findings are: (1) While kale and coriander were high-value horticultural crops, smallholder farmers did not often sell their produce at anything other than the local market and, in the main, were not commercially orientated. In fact, many had only small land sizes (less than 0.5acres), which made it difficult for them to grow commercial quantities. Additionally, there were inadequate infrastructural services such as cooled transportation and storage facilities that the farmers needed to develop the economies of scale necessary for them to expand into new and more sophisticated markets. (2) It is possible to develop a robust and evidence-based framework to examine the key determinants that affected smallholder farmers’ ability to explore new and sophisticated markets for their produce. Such a framework was created with components that are important, with a set of key determinants developed for use in other studies of commercialisation in subsistence based societies. (3) The study has enabled a number of recommendations to be made regarding policy development to aid smallholder farmers’ commercialisation.

Widespread use of digital information technology is having a significant impact on economic growth and people’s well-being. This paper assesses the mediating role of social capital in the impact of digital information technology on multidimensional poverty. Due to differences in regional, industrial structure and other factors, digital information technology has different impacts on urban and rural residents. In this paper, the China Family Panel Studies (CFPS) database is used for data, and a mediating effect model is used to study the problem. The digital information technology use was found to enhance social capital from social network, social participation and social trust, and subsequently alleviates multidimensional poverty. The results indicate that social trust plays a more significant mediating role than social capital and social participation on the impact of digital information technology on multidimensional poverty. Furthermore, the results reveal that the use of digital information technology has varying effects on poverty reduction among different income groups, with a much higher effect on low-income groups. However, the mediating effect of social capital in high-income groups is higher than that in low-income groups. In particular, social capital in the top 25% of income groups has the highest mediating effect. In the heterogeneity analysis between urban and rural areas, it is found that the multidimensional poverty situation in urban areas is significantly better than that in rural areas, because urban residents have a higher use of digital information, and at the same time, the quality of social capital in urban and rural groups is different, leading to the difference in the effect of digital information technology on poverty reduction of multidimensional poverty. Based on the results of the study, we believe that the use of digital information technology has actually improved the multi-dimensional poverty status of all groups, and social capital plays a key mediating role in it. Relying on the progress of digital information technology, we can build more convenient social network. Establish more adequate channels of information communication, enhance social trust and social participation, and alleviate multidimensional poverty.