In Search of a Strategy for Making Growth More Pro-Poor in the Philippines

Abstract

Despite the large and expanding literature on pro-poor growth, quantitative studies identifying potential determinants of pro-poor growth remain scarce. This paper addresses this lacuna in the literature for the case of the Philippines. The main driver of rural poverty reduction has shifted from agricultural to non-agricultural growth in the Philippines, but agricultural investments can be still effective in areas with underdeveloped infrastructure. Non-agricultural income growth, on the other hand, can be made more pro-poor by reducing child mortality, facilitating international labor migration, investing in roads, and reducing income inequality.