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Poverty

How can Latin America and the Caribbean keep up inclusive growth?

Louise Cord's picture
The Latin America and Caribbean (LAC) region has been the most inclusive region in the world over the last decade: not only did it cut extreme poverty in half, it also realized the highest income growth rate among the bottom 40 percent of income earners in absolute terms, as well as relative to the total population. Between 2006 and 2011, the average growth rate per year in the mean income of LAC’s bottom 40 was approximately 5.2%. Moreover, when compared with the rest of the world, the region’s bottom 40 enjoyed the most rapid income growth relative to the total population (Figure 1).

The ten richest Africans own as much as the poorest half of the continent

Christoph Lakner's picture
In January 2014, Oxfam released a widely-cited briefing paper which argued that the richest 85 people in the world owned more than the poorest half of the population in 2013 (Oxfam, 2014).[1] In this blog post I estimate this statistic for Africa. The blog builds on background research for an upcoming flagship report “The State of Poverty and Inequality in Africa” led by the World Bank’s Africa Chief Economist Office. I find that the ten richest Africans own more than the bottom half of the continent.

Inclusive growth for shared prosperity

Vinaya Swaroop's picture
Announced in April 2013, the twin global goals of the World Bank – eliminating extreme poverty by 2030 and boosting shared prosperity – have become the guiding principles of its development work.  While reducing poverty has always anchored the Bank’s work, the goal of boosting shared prosperity – measured by the income of the bottom 40 percent – is new.

Geographical poverty traps in rural areas: A growing global problem

Edward B. Barbier's picture
More than one-third of the rural population in developing countries lives on less-favored agricultural land, according to global spatial datasets from 2000. How, then, does this distribution influence the incidence of poverty in these countries? 

Reflections on social protection and poverty alleviation from the long term impact of Chile Solidario

Emanuela Galasso's picture
Productive inclusion is the buzzword taking shape in social policy circles in Latin America, and other middle income countries. Graduation out of social assistance does not equate with (or presume) a sustained exit from poverty.

As many middle-income countries are moving towards embracing cash transfers with or without co-responsibilities attached (and the recent hype of handing cash directly to the poor), there is an important wave of programs that provide “cash plus” intervention.

The Social Observatory Field Notes: Documenting the stories of Self-Help Group (SGH) leaders

Shruti Majumdar's picture

Location: Sarfuddinpur, Bihar
December 2014
 
In June this year, I was in Sarfuddinpur, a village in Muzaffarpur district in north-central Bihar. This was my tenth round of qualitative data collection in this village and I wanted to document the stories of a few Self-Help Group, or SHG, leaders; Shakuntala Devi was one of them. I first observed her presiding over an SHG meeting under the village peepal tree in July 2013. She was expertly facilitating a discussion with other SHG members around loans, but also around child health issues and the challenges faced by women in the marketplace. She disciplined free riders and rewarded contributors with a respected leader’s ease. Since then, I have seen her conduct many other meetings.
 

Revolutionizing Data Collection: From “Big Data” to “All Data”

Nobuo Yoshida's picture

The limited availability of data on poverty and inequality poses major challenges to the monitoring of the World Bank Group’s twin goals – ending extreme poverty and boosting shared prosperity. According to a recently completed study, for nearly one hundred countries at most two poverty estimates are available over the past decade.Worse still, for around half of them there was either one or no poverty estimate available.* Increasing the frequency of data on poverty is critical to effectively monitoring the Bank’s twin goals.
 
Against this background, the science of “Big Data” is often looked to as providing a potential solution. A famous example of this science is “Google Flu Trends (GFT)”, which uses search outcomes of Google to predict flu outbreaks. This technology has proven extremely quick to produce predictions and is also very cost-effective. The rapidly increasing volumes of raw data and the accompanying  improvement of computer science have enabled us to fill other kinds of data gaps in ways that we could not even have dreamt of  in the past.

Does Culture Matter for Development?

Augusto Lopez-Claros's picture

For a variety of reasons, economists have avoided getting too closely involved with the concept of culture and its relationship to economic development. There is a general acceptance that culture must have a role in guiding a population along a particular path, but, as Landes (1998) points out, a discomfort with what can be construed as implied criticism of a particular culture has discouraged broader public discourse.
 
As we discuss in a recent paper, the role of culture in economic development is not an easy subject to get a handle on. To start with, one faces issues of definition. The more all-encompassing the definition, the less helpful it tends to be in explaining patterns of development. Economists tend to narrowly define culture as “customary beliefs and values that ethnic, religious, and social groups transmit fairly unchanged from generation to generation” (Guiso, Sapienza and Zingales, 2006). This approach is largely dictated by the aim to identify causal relationships, by focusing on aspects of culture that are constant over time. Not surprisingly, some of the most insightful writing on the subject has been done by anthropologists. Murdock (1965) argues that a culture consists of habits that are shared by members of a society. It is the product of learning, not of heredity. Woolcock (2014) highlights how the sociologic scholarship has evolved to consider culture as “shaping a repertoire or ‘tool kit’ of habits, skills, and styles from which people construct ‘strategies of action” (Swidler, 1986, p.273).

​The Story of the 2015 World Development Report: Mind, Society, and Behavior

Varun Gauri's picture

English settlers to the New World believed that the climate of Newfoundland would be moderate, New England would be warm, and Virginia would be like southern Spain. These beliefs were based on the seemingly common sense view that climate is much the same at any given latitude around the globe.
 
What is striking is that these views persisted despite mounting evidence to the contrary. As late as 1620, after 13 years in the settlement, residents in Jamestown, Virginia, were still trying to import olive trees and other tropical plants, perhaps inspired by Father Andrew White, who had assured them that it was “probable that the soil will prove to be adapted to all the fruits of Italy, figs, pomegranates, oranges, olives, etc.” Eventually, the English settlers did adjust their mental models about North American climate. The accumulation of scientific data, combined with personal experience, was undeniable. But the adjustment was slow and costly, in terms of both money and lives lost.

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