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The World Bank research observer 25 (1), Volume 1
Author:Jimenez, Emmanuel; de Janvry, Alain; Sadoulet, Elisabeth; Anderson, Kym; Headey, Derek; Bezemer, Dirk; Hazell, Peter B.; Demirgüç-Kunt, Ash; Serven, Luis; Caprio. Jr , Gerard; Kane, Edward J.; Wodon , Quentin; Zaman, Hassan; Country:World;
Date Stored:2011/07/26Document Date:2010/02/01
Document Type:PublicationSubTopics:Regional Economic Development; Achieving Shared Growth; Rural Poverty Reduction; Debt Markets
Region:The World RegionReport Number:63378
Source Citation:The World Bank research observer. -- Vol. 25, no. 1 (February 2010)Volume No:1

Summary: This paper presents new evidence on the capacity of agricultural growth to serve as an effective instrument for poverty reduction. The poverty reduction value of land and labor productivity growth and of Gross Domestic Product(GDP) growth originating in agriculture versus the rest of the economy; the comparative linkage value of a quantum of sectoral growth for aggregate growth and poverty reduction; the contribution made by rural areas to aggregate poverty reduction under alternative migration scenarios; and the household pathways out of poverty in the context of aggregate growth, in particular via market-oriented smallholder farming. The key relation between public investment and sectoral growth response needs to be determined in order to decide when to use an agriculture-first poverty reduction strategy. While this relation is central to deciding on use of agriculture for development. It remains difficult to establish and dearly conditional on the circumstances where it applies. The review evidence indicating that there are many situations where investing in agriculture for poverty reduction may be the preferred strategy.

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