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Notes from “Fostering Pro-Poor Growth”

Notes from “Fostering Pro-Poor Growth”. Sarfraz Khan Qureshi Director, Innovative Development Strategies. Fosu: Determinants of Pro-Poor Growth. Inequality reduction is crucial to poverty reduction Should strive to find policies that are growth promoting and inequality reducing

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Notes from “Fostering Pro-Poor Growth”

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  1. Notes from “Fostering Pro-Poor Growth” Sarfraz Khan Qureshi Director, Innovative Development Strategies

  2. Fosu: Determinants of Pro-Poor Growth • Inequality reduction is crucial to poverty reduction • Should strive to find policies that are growth promoting and inequality reducing • One potential type of policy-- policies that encourage growth in sub-sectors with high output elasticities with respect to employment

  3. Huang- Rural Poverty Reduction and Determinants of Pro-Poor Growth • Studies the major driving forces behind massive poverty reduction in China • Finds negative association between the change in poverty incidence and change in agricultural output (over time) • Economic growth also essential

  4. Diaz-Bonilla: Global Macroeconomy Developments: Implications for Poverty • Quality of growth is affected by world variables • Cycles and Trends can affect growth • Current cycle seems to be ending • Developing countries should be prepared for down cycle • Trend: Need to be aware that economic growth will continue to require (scarce) energy resources

  5. Ahmed: Fiscal Policy Instruments and Political Economy of Designing Programs for the Poorest • Need a more subtle view of governance • Local officials may not have incentives to implement central “programs” • Taxation, when centralized, can redistribute, but… • If not centralized, poor areas lack resources to meet poverty spending • Transfers-- central government can lack monitoring ability over local regions

  6. Keyzer-- Cost of Achieving MDG1 • Declaration of MDG 1 missed a lot of potential costs in goals • Overlooked malaria, leprosy, infrastructure, supply side on education/health improvements • Assumed constant wages for teachers, etc. • Data basis for some MDG indicators unclear or wrong (FAO data vs. DHS) • Ignores lessons from Asia

  7. Q&A: Highlights • Left off the table-- higher agricultural productivity as a source of poverty reduction • More subtle knowledge necessary for productivity improvements in Sub-Sarahan Africa than Asia • Should migration be more of an instrument for growth?

  8. Q&A: More highlights • Fostering pro-poor growth-- discussion failed to mention role of women-- and could be a disaster if migration is promoted • However, migration is largely female in some countries (e.g. Philippines)

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