Assessing the Poverty Bias of Growth in Agriculture Sector: Evidence from Pakistan

Type Journal Article - International Journal of Trade, Economics and Finance
Title Assessing the Poverty Bias of Growth in Agriculture Sector: Evidence from Pakistan
Author(s)
Volume 1
Issue 3
Publication (Day/Month/Year) 2010
Page numbers 303-308
URL http://www.ijtef.org/papers/54-F480.pdf
Abstract
The aim of this study is to examine the potential
impact of agriculture growth on the poors in Pakistan during
1964-2006. This research is extended within the phenomena of
Poverty Bias of Growth (PBG) as proposed by McCulloch and
Baulch (2000) in the literature. The cumulative outcome of four
decades (43 years) is anti-poor. The results of impulse response
analysis, indicate that one standard error shock to agricultural
growth have negative impact on rural poverty, while one shock
in income inequality causes rural poverty to fall up to next 10
years. At last, one error shock to poverty causes agriculture
income to deteriorate in the next 10 years.

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