Choose an application

• Reference Manager
• EndNote
• RefWorks (Direct export to RefWorks)

This paper uses a sample of 73 developing countries to estimate the change in the cost of alleviating urban poverty brought about by the recent increase in food prices. This cost is approximated by the change in the poverty deficit, that is, the variation in financial resources required to eliminate poverty under perfect targeting. The results show that, for most countries, the cost represents less than 0.1 percent of gross domestic product. However, in the most severely affected, it may exceed 3 percent. In all countries, the change in the poverty deficit is mostly due to the negative real income effect of those households that were poor before the price shock, while the cost attributable to new households falling into poverty is negligible. Thus, in countries where transfer mechanisms with effective targeting already exist, the most cost-effective strategy would be to scale up such programs rather than designing tools to identify the new poor.

Debt Markets --- Finance and Financial Sector Development --- Food and Beverage Industry --- Food prices --- Income --- Industry --- New poor --- Poor --- Poor households --- Poverty --- Poverty gap --- Poverty line --- Poverty Reduction --- Poverty threshold --- Pro-Poor Growth --- Rural Development --- Rural Poverty Reduction --- Targeting

Choose an application

• Reference Manager
• EndNote
• RefWorks (Direct export to RefWorks)

Trade policies can promote aggregate efficiency, but the ensuing structural adjustments generally create both winners and losers. From an incomes perspective, trade liberalization can raise gross domestic product per capita, but rates of emergence from poverty depend on individual household characteristics of economic participation and asset holding. To fully realize the growth potential of trade, while limiting the risk of rising inequality, policies need to better account for microeconomic heterogeneity. One approach to this is geographic targeting that shifts resources to poor areas. This study combines an integrated microsimulation-computable general equilibrium model with small area estimation to evaluate the spatial incidence of Vietnam's accession to the World Trade Organization. Provincial-level poverty reduction after full liberalization was heterogeneous, ranging from 2.2 percent to 14.3 percent. Full liberalization will benefit the poor on a national basis, but the northwestern area of Vietnam is likely to lag behind. Furthermore, poverty can be shown to increase under comparable scenarios.

Economic Theory and Research --- Incidence of Poverty --- Income --- Income distribution --- Inequality --- Macroeconomics and Economic Growth --- Poor --- Poor areas --- Poor households --- Poor people --- Poverty Monitoring and Analysis --- Poverty Reduction --- Poverty reduction --- Pro-Poor Growth --- Rural Development --- Rural Poverty Reduction --- Targeting

Choose an application

• Reference Manager
• EndNote
• RefWorks (Direct export to RefWorks)

In many poor countries, the recent increases in prices of staple foods raise the real incomes of those selling food, many of whom are relatively poor, while hurting net food consumers, many of whom are also relatively poor. The impacts on poverty will certainly be very diverse, but the average impact on poverty depends upon the balance between these two effects, and can only be determined by looking at real-world data. Results using household data for ten observations on nine low-income countries show that the short-run impacts of higher staple food prices on poverty differ considerably by commodity and by country, but, that poverty increases are much more frequent, and larger, than poverty reductions. The recent large increases in food prices appear likely to raise overall poverty in low income countries substantially.

Food commodities --- Food consumers --- Food Prices --- Impact on poverty --- Income --- Macroeconomics and Economic Growth --- Markets and Market Access --- Poor --- Poor countries --- Poor households --- Poor people --- Poverty rates --- Poverty Reduction --- Rural Development --- Rural Poverty Reduction

Choose an application

• Reference Manager
• EndNote
• RefWorks (Direct export to RefWorks)

This paper uses a sample of 73 developing countries to estimate the change in the cost of alleviating urban poverty brought about by the recent increase in food prices. This cost is approximated by the change in the poverty deficit, that is, the variation in financial resources required to eliminate poverty under perfect targeting. The results show that, for most countries, the cost represents less than 0.1 percent of gross domestic product. However, in the most severely affected, it may exceed 3 percent. In all countries, the change in the poverty deficit is mostly due to the negative real income effect of those households that were poor before the price shock, while the cost attributable to new households falling into poverty is negligible. Thus, in countries where transfer mechanisms with effective targeting already exist, the most cost-effective strategy would be to scale up such programs rather than designing tools to identify the new poor.

Debt Markets --- Finance and Financial Sector Development --- Food and Beverage Industry --- Food prices --- Income --- Industry --- New poor --- Poor --- Poor households --- Poverty --- Poverty gap --- Poverty line --- Poverty Reduction --- Poverty threshold --- Pro-Poor Growth --- Rural Development --- Rural Poverty Reduction --- Targeting

Choose an application

• Reference Manager
• EndNote
• RefWorks (Direct export to RefWorks)

In rural Indonesia, around 60 percent of workers engage in agriculture and face regular climatic shocks that may threaten their crop production, household income, and human capital investments. Little is known about households' ability to maintain consumption in response to these shocks. This paper uses both longitudinal and repeated cross-sectional data to examine the extent to which farm profits and household consumption are reduced by delayed monsoon onset, an important determinant of rice production in Indonesia. It also investigates whether poor households are more vulnerable to delayed onset. Overall, delayed onset has minor effects on rural households' profit and consumption. For poor households, defined as those with average per capita consumption in the lowest quintile, delayed onset the previous year is associated with a 13 percent decline in per capita consumption. Most of this decline is due to an increase in household size, however, and delayed onset two years ago is positively correlated with consumption. The findings suggest that poor households experience greater volatility but no lasting reduction in consumption following delayed monsoon onset.

Agricultural output --- Agricultural productivity --- Consumption --- Crop production --- Drought --- Farm households --- Farmland --- Household consumption --- Household income --- Household size --- Human capital --- Informal insurance --- Insurance markets --- Macroeconomics and Economic Growth --- Per capita consumption --- Poor --- Poor households --- Poor rural areas --- Poverty Reduction --- Regional Economic Development --- Rural --- Rural areas --- Rural Development --- Rural households --- Rural Poverty Reduction --- Small Area Estimation Poverty Mapping