[go: up one dir, main page]
IDEAS home Printed from https://ideas.repec.org/p/shr/wpaper/04-07.html
   My bibliography  Save this paper

Macroeconomic Growth, Sectoral Quality Of Growth And Poverty In Developing Countries: Measure And Application To Burkina Faso

Author

Listed:
  • Dorothée BOCCANFUSO

    (Université de Sherbrooke, Département d’économique – Faculté d’administration)

  • Tambi Samuel KABORE

    (CEDRES, UFR-SEG-Université de Ouagadougou, 01 BP 6693 Ouaga 01)

Abstract
Economic growth generally refers to GDP growth. The studies on the link between growth and poverty dynamic (Datt and Ravallion, 1992; Kakwani, 1997; Shorrocks, 1999) measure growth by mean household per capita expenditures. Furthermore, many countries experience at the same time economic growth and growing poverty. It is therefore important to establish a link between these two types of growth. This key link allows a formal shift from macroeconomic growth (GDP growth) to mean per capita household expenditure growth. The purpose of this paper is to discuss the link between macroeconomic growth and mean per capita household expenditure growth with the evidence drawn from Burkina Faso data. The paper also analyzes the impact of sectoral growth on poverty using Shapley value-based decomposition approach. National Accounts consumption - which is smaller - gives greater poverty incidences for 1994 and 1998 compared to the incidence from the surveys’ consumption. An annual 3.99% increase in real per capita consumption based on the survey gives a 13.37% decrease in poverty incidence, while a 6.59% annual growth in GDP yields only 6.59% decrease in poverty incidence. Agricultural sector growth accounts for at least 80% of the decline in poverty incidence, gap and severity.

Suggested Citation

  • Dorothée BOCCANFUSO & Tambi Samuel KABORE, 2004. "Macroeconomic Growth, Sectoral Quality Of Growth And Poverty In Developing Countries: Measure And Application To Burkina Faso," Cahiers de recherche 04-07, Departement d'économique de l'École de gestion à l'Université de Sherbrooke.
    • Handle: RePEc:shr:wpaper:04-07
    as

    Download full text from publisher

    File URL: http://gredi.recherche.usherbrooke.ca/wpapers/04_07_db.pdf
    File Function: First version, 2004
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Angus Deaton, 2005. "Measuring Poverty in a Growing World (or Measuring Growth in a Poor World)," The Review of Economics and Statistics, MIT Press, vol. 87(1), pages 1-19, February.
    2. Bigsten, Arne & Kebede, Bereket & Shimeles, Abebe & Taddesse, Mekonnen, 2003. "Growth and Poverty Reduction in Ethiopia: Evidence from Household Panel Surveys," World Development, Elsevier, vol. 31(1), pages 87-106, January.
    3. Heltberg, R. & Tarp, F., 2002. "Agricultural supply response and poverty in Mozambique," Food Policy, Elsevier, vol. 27(2), pages 103-124, April.
    4. Angus Deaton, 2005. "ERRATUM: Measuring Poverty in a Growing World (or Measuring Growth in a Poor World)," The Review of Economics and Statistics, MIT Press, vol. 87(2), pages 395-395, May.
    5. Foster, James & Greer, Joel & Thorbecke, Erik, 1984. "A Class of Decomposable Poverty Measures," Econometrica, Econometric Society, vol. 52(3), pages 761-766, May.
    6. Dorothée Boccanfuso & Bernard Decaluwé & Luc Savard, 2003. "Poverty, Income Distribution and CGE Modeling: Does the Functional Form of Distribution Matter?," Cahiers de recherche 0332, CIRPEE.
    7. Ravallion, Martin, 2001. "Growth, Inequality and Poverty: Looking Beyond Averages," World Development, Elsevier, vol. 29(11), pages 1803-1815, November.
    8. Steven A. Block, 1999. "Agriculture and economic growth in Ethiopia: growth multipliers from a four‐sector simulation model," Agricultural Economics, International Association of Agricultural Economists, vol. 20(3), pages 241-252, May.
    9. Bigsten , Arne & Levin, Jörgen, 2000. "Growth, Income Distribution, and Poverty: A Review," Working Papers in Economics 32, University of Gothenburg, Department of Economics.
    10. Ravallion, Martin & Huppi, Monika, 1991. "Measuring Changes in Poverty: A Methodological Case Study of Indonesia during an Adjustment Period," The World Bank Economic Review, World Bank, vol. 5(1), pages 57-82, January.
    11. Ravallion, Martin & Chen, Shaohua, 2003. "Measuring pro-poor growth," Economics Letters, Elsevier, vol. 78(1), pages 93-99, January.
    12. Jean-Pierre Lachaud, 1995. "Croissance économique, pauvreté et inégalité des revenus en Afrique subsaharienne: analyse comparative," Documents de travail 11, Groupe d'Economie du Développement de l'Université Montesquieu Bordeaux IV.
    13. Khan, Haider A., 1999. "Sectoral Growth and Poverty Alleviation: A Multiplier Decomposition Technique Applied to South Africa," World Development, Elsevier, vol. 27(3), pages 521-530, March.
    14. Decaluwe, B. & Patry, A. & Savard, L. & Thorbecke, E., 1999. "Poverty Analysis Within a General Equilibrium Framework," Cahiers de recherche 9909, Université Laval - Département d'économique.
    15. Ravallion, Martin & Datt, Gaurav, 2002. "Why has economic growth been more pro-poor in some states of India than others?," Journal of Development Economics, Elsevier, vol. 68(2), pages 381-400, August.
    16. 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.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Kalwij, Adriaan & Verschoor, Arjan, 2007. "Not by growth alone: The role of the distribution of income in regional diversity in poverty reduction," European Economic Review, Elsevier, vol. 51(4), pages 805-829, May.
    2. Iniguez-Montiel, Alberto Javier, 2014. "Growth with Equity for the Development of Mexico: Poverty, Inequality, and Economic Growth (1992–2008)," World Development, Elsevier, vol. 59(C), pages 313-326.
    3. Vincenzo Lombardo, 2011. "Growth and Inequality Effects on Poverty Reduction in Italy," Rivista italiana degli economisti, Società editrice il Mulino, issue 2, pages 241-280.
    4. Antonella Biscione & Dorothée Boccanfuso & Raul Caruso, 2020. "A Hypothesis on Poverty Change in Albania (2007-2016)," Rivista Internazionale di Scienze Sociali, Vita e Pensiero, Pubblicazioni dell'Universita' Cattolica del Sacro Cuore, vol. 128(3), pages 301-320.
    5. Raul Caruso & Antonella Biscione, 2020. "Static and Dynamic Analysis of Poverty in Albania (2007-2016)," Working Papers 1007, European Centre of Peace Science, Integration and Cooperation (CESPIC), Catholic University 'Our Lady of Good Counsel'.
    6. Kalwij, A.S. & Verschoor, A., 2004. "How Good is Growth for the Poor? The Role of Initial Income Distribution in Regional Diversity in Poverty Trends," Other publications TiSEM 199ed5a4-ad69-4cf9-81d7-b, Tilburg University, School of Economics and Management.
    7. Christoph Lakner & Daniel Gerszon Mahler & Mario Negre & Espen Beer Prydz, 2022. "How much does reducing inequality matter for global poverty?," The Journal of Economic Inequality, Springer;Society for the Study of Economic Inequality, vol. 20(3), pages 559-585, September.
    8. Dorothée Boccanfuso & Samuel Tambi Kaboré, 2004. "Croissance, inégalité et pauvreté dans les années quatre-vingt-dix au Burkina Faso et au Sénégal," Revue d’économie du développement, De Boeck Université, vol. 12(2), pages 9-35.
    9. Facundo Alvaredo & Leonardo Gasparini, 2013. "Recent Trends in Inequality and Poverty in Developing Countries," CEDLAS, Working Papers 0151, CEDLAS, Universidad Nacional de La Plata.
    10. Loayza, Norman V. & Raddatz, Claudio, 2010. "The composition of growth matters for poverty alleviation," Journal of Development Economics, Elsevier, vol. 93(1), pages 137-151, September.
    11. Tarlok Singh, 2022. "Economic growth and the state of poverty in India: sectoral and provincial perspectives," Economic Change and Restructuring, Springer, vol. 55(3), pages 1251-1302, August.
    12. Bluhm, Richard & de Crombrugghe, Denis & Szirmai, Adam, 2018. "Poverty accounting," European Economic Review, Elsevier, vol. 104(C), pages 237-255.
    13. Ngepah, Nicholas & Espoir, Delphin Kamanda, 2018. "Binding constraints of economic growth on poverty: A dynamic panel data analysis," MPRA Paper 92136, University Library of Munich, Germany, revised 15 Oct 2018.
    14. Francis Teal, 2006. "Consumption and welfare in Ghana in the 1990s," Journal of Development Studies, Taylor & Francis Journals, vol. 42(7), pages 1252-1269.
    15. Michael Grimm & Isabel Günther, 2007. "Growth and Poverty in Burkina Faso: A Reassessment of the Paradox," Journal of African Economies, Centre for the Study of African Economies, vol. 16(1), pages 70-101, January.
    16. Higgins, Sean & Lustig, Nora, 2016. "Can a poverty-reducing and progressive tax and transfer system hurt the poor?," Journal of Development Economics, Elsevier, vol. 122(C), pages 63-75.
    17. Thorat, Sukhadeo, 2011. "Growth, Inequality and Poverty Linkages during 1983-2005: Implications for Socially Inclusive Growth," Indian Journal of Agricultural Economics, Indian Society of Agricultural Economics, vol. 66(1), pages 1-32.
    18. Yerrabati, Sridevi, 2022. "Does vulnerable employment alleviate poverty in developing countries?," Economic Modelling, Elsevier, vol. 116(C).
    19. Jean-Yves Duclos & Paul Makdissi & Abdelkrim Araar, 2009. "Pro-Poor Tax reforms, with an Application to Mexico," Working Papers 0907E, University of Ottawa, Department of Economics.
    20. Bui, Tuan & Nguyen, Cuong & Pham, Phuong, 2015. "Poverty among ethnic minorities: transition process, inequality and economic growth," MPRA Paper 68924, University Library of Munich, Germany.

    More about this item

    Keywords

    Growth; Poverty decomposition; Shapley Value; Burkina Faso;
    All these keywords.

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:shr:wpaper:04-07. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Jean-François Rouillard (email available below). General contact details of provider: https://edirc.repec.org/data/deushca.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.