Syndicate content

Poverty

End poverty now more than ever, Mongolia

Jim Anderson's picture
Also available in: Mongolian

October 17 is End Poverty Day. Every day is a day to end poverty, but it helps to designate one day per year to reflect on this goal and how we can work to achieve it.

In Mongolia, poverty declined from 2010 to 2012, and again from 2012 to 2014. Since poverty rates very closely track overall economic growth, this is not surprising. Growth in labor incomes over the period helped reduce poverty, and this growth, in turn, was generated by increases in real wages in the non-agricultural sector and non-wage income in the  agricultural sector.  Mongolia’s fondness for universal social transfers also contributed: poverty rates fell from 38.8 percent in 2010 to 21.6 percent in 2014, based on the national poverty lines.

That was then, this is now.

Although the 2016 poverty level is not yet available, we can be sure that the economic downturn has not helped. Overall growth of GDP is projected to be only 0.1 percent for 2016, with production in the non-mining sector declining. And Mongolia’s pro-cyclical policies that funded social programs in the boom years now face opposite pressures. Social welfare  programs that are categorically targeted and pro-cyclically funded are more difficult to scale up when times become difficult.

With a large and unsustainable budget deficit (projected to reach 18 percent of GDP for 2016), and with growing levels of debt, Mongolia has little choice but to focus on fiscal  consolidation. Can they do so without hurting the most vulnerable people in society?

Ядуурлыг арилгах цаг нь одоо

Jim Anderson's picture
Also available in: English

Аравдугаар сарын 17 бол Ядуурлыг арилгах олон улсын өдөр. Уг нь өдөр бүр ядуурлыг арилгах өдөр байх ёстой ч тодорхой нэг өдрийг ингэж онцолсноор бидний хүрэх гэж байгаа зорилгыг илүү ойлгуулдаг юм.

Монголын ядуурлын түвшин 2010-2012 оны хооронд, мөн 2012-2014 хооронд үргэлжлэн буурсан. Ядуурлын түвшин нь эдийн засгийн өсөлттэй хамааралтай байдаг учраас энэ үзүүлэлт гайхмаар зүйл биш. Дурдсан хугацаанд иргэдийн орлого нэмэгдсэн нь ядуурлыг бууруулахад дэм үзүүлсэн. Эдийн засгийн өсөлт нь хөдөө аж ахуйгаас бусад салбарын цалин нэмэгдсэн, мөн хөдөө аж ахуйн салбарын цалингаас бусад орлого нэмэгдсэнээс үүдэлтэй. Монголын нийгмийн шилжилтийн ерөнхий төлөв байдал ч бас өөрийн хувь нэмрээ оруулсан: 2010 онд 38.8 хувьтай байсан ядуурал 2014 онд 21.6 хувь руу буусан.

Тэр үед юу болсон, харин одоо юу болж байна вэ?

Why Updating Malaysia’s Inclusiveness Strategies is Key

Philip Schellekens's picture

Compare South Korea and Malaysia in 1970 and compare them again in 2009. South Korea was a third poorer back then and is now three times richer. Even more remarkable has been South Korea’s ability to widely share the benefits of this spectacular feat across broad segments of society. South Korea’s strong focus on broad-based human capital development allowed the country to transform itself into a high-income economy, while at the same time reducing income inequality and improving social outcomes.

Nam Theun 2 – How are the resettled people doing overall? In their own words… (part 2 of 2)

Nina Fenton's picture

In the last blog we saw that most resettlers are broadly satisfied with the resettlement process and are positive and optimistic about their lives as a whole. But…how do they feel about their lives in comparison to the very different world they lived in before relocation? What are the changes they value or regret?
 

The respondents were asked directly how they felt about life now compared with life before resettlement. The overwhelming majority think that life has got much better, and that the vulnerable households are even more likely to feel this way than the non-vulnerable—no vulnerable households felt that life had got worse.

Nam Theun 2 – How are the resettled people doing overall? In their own words… (part 1 of 2)

Nina Fenton's picture

In last week’s blog I showed that, when we examine consumption—a commonly used measure of household welfare—the resettled households appear to be doing relatively well, and much better than before resettlement. But economic circumstances are just one small part of what really matters to households. In order to get closer to a broader picture of “well-being”, I’m going to present some evidence of how these households themselves view their lives overall and how they feel about the changes going on around them. I hope that this will provide new insights to the question of “how are the resettled people doing overall?”

Thailand's economy in 2010: Growth in balance

Frederico Gil Sander's picture

In the years since the 1997/1998 Asian financial crisis, the Bank of Thailand (BoT) worked hard to build a heavy fortress around the nation’s financial sector. As a result, at a time when credit markets froze in developed countries and investors “fled to quality,” large amounts of capital still flowed into Thailand, where banks remained solid and well capitalized. Despite the financial strength brought by prudent policies, for the first time since the financial crisis, Thailand will see GDP and household consumption drop, and poverty could even increase in 2009. It is clear that the financial armor was insufficient to protect the economy from another crisis.

The culprit has been identified as Thailand’s excessive reliance on external demand, and talk of “rebalancing” growth towards domestic consumption and investment has become quite common (pdf). The idea of rebalancing makes some sense – but it can also be misleading. Let me explain.

What can make rural-to-urban migration successful in China?

Xiaoqing Yu's picture

When we visited a poor village in Qingxing county of north Guangdong a few weeks ago to work on a study of inequality,  I was struck by the severity of poverty in places only a few hours away from the most dynamic and prosperous Pearl River Delta. One family that we visited had almost no furniture. Another only lived on 90 yuan (US$13) per month from the social assistance program.

Pages