Other Poverty Study

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    How Much Will Poverty Rise in Sub-Saharan Africa in 2020?
    (World Bank, Washington, DC, 2020-05) Montes, Jose ; Silwal, Ani ; Newhouse, David ; Chen, Frances ; Swindle, Rachel ; Tian, Siwei
    The ongoing coronavirus pandemic is expected to drastically slow 2020 GDP per capita growth in Sub-Saharan Africa (SSA) by about 5 percentage points compared to pre-pandemic forecasts. This note presents results from an analysis of a comprehensive database of surveys from 45 of 48 SSA countries to examine the effects of the project fall in growth on poverty in the region. An additional 26 million people in SSA, and as much as 58 million, may fall into extreme poverty defined by the international poverty line of 1.90 US Dollars per day in 2011 PPP. The poverty rate for SSA will likely increase more than two percentage points, setting back poverty reduction in the region by about 5 years.
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    Aspiring Indonesia—Expanding the Middle Class
    (World Bank, Washington, DC, 2019-09) World Bank
    Indonesia has seen tremendous progress in poverty reduction over the past couple of decades and, as a result, has made a successful transition from low-income to middle-income country status. As millions have moved out of poverty and extreme poverty, we have also witnessed the rise of Indonesia’s middle class, which now accounts for 20 percent of the total population, or 52 million Indonesians. This group important for Indonesia’s upward trajectory, but it still too small for the ambitions of Indonesia. Expanding the middle class will boost economic growth, strengthen an influential constituency for better governance, and widen and deepen the tax base. An expansion of the middle class, if accompanied by continued growth in the incomes of the poor and vulnerable, will also help to decrease inequality and prevent polarization of the country. One of the key development questions that Indonesia faces is how to expand the middle class. What will be required to bring the 115 million people who are no longer in poverty and vulnerability into the middle class? The future of Indonesia lies partly in the fate of this aspiring middle class, 45 percent of the population, so that they can both share in and help to drive the country’s growing prosperity. Government policy can play an instrumental role in expanding the middle class. This can be done by increasing the level and quality of education, and the skills of the population, and making sure there are well-paid jobs waiting for those in the aspiring middle class. It also means ensuring access to social protection to help lift these aspirers into the middle class and keep them there once they arrive, as well as improving the quality of the public services upon which they currently depend. Resolve to expand the middle class will place greater stress on government budgets. The government will need increasingly rely on the middle class, whose income taxes will finance much of the investment that a growing Indonesia will need. This will require a new social contract with the current – and future – middle class so that they will embrace the policies that both benefit themselves while also helping to expand their ranks, rather than closing off opportunities for others, and creating political polarization—as has occurred in some countries in the region in recent years.
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    Drivers of Poverty Reduction in Lao PDR
    (World Bank, Vientiane, 2015-10-01) World Bank Group
    Poverty in Lao PDR declined from 33.5 percent to 23.2 percent over the 10 year period between 2002/3 and 2012/13. The number of poor people declined by about half a million to 1.35 million in 2013 and Lao PDR has met its MDG target of reducing poverty to below 24 percent by 2015. Improvements in welfare are evident in the changes in other socio-economic indicators such as the ownership of televisions and access to electricity, which doubled, and the number of households living in houses built with bricks or concrete, which nearly tripled, while the proportion of those without a toilet halved. Net secondary enrollment increased from 27 percent in 2002/3 to 50 percent in 2012/13 showing significant improvements in education.
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    Poverty and Shared Prosperity in Brazil's Metropolitan Regions: Taking Stock and Identifying Priorities
    (Washington, DC, 2015-07-08) World Bank Group
    In the 20th Century, Brazil rapidly urbanized and is now not only an urban nation but a metropolitan one. Brazils sprawling regioes metropolitanas (metropolitan regions, or RMs, which are municipal clusters) are now home to almost 50 million people and much of the countrys economic vitality. The RM spatial level and its supporting governmental institutions have thus become critical to Brazils future development. While challenges remain for tackling deprivation in rural areas, poverty in Brazil is now predominantly urban. More than six in 10 Brazilians in extreme poverty were living in urban settings as of 2012. Of these, over a fourth was concentrated in the 10 largest RMs.
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    Alternative Social Safety Nets in South Sudan: Costing and Impact on Welfare Indicators -- Poverty Note
    (World Bank, Washington, DC, 2015-06) Pape, Utz ; Pontara, Nicola
    The purpose of this note is to provide the monetary cost of various social safety net targeting schemes that can be deployed to reduce vulnerability and increase resilience. It is believed that gradually switching to the provision of social safety nets can reduce the chronic dependency on humanitarian (mainly food) aid. At the same time, it could help to alleviate reliance on patronage networks and switch a portion of the public spending from unproductive uses (e.g., military expenditure) toward strengthening the resilience and supporting the livelihoods of South Sudanese. In addition, a social safety net would address the fatigues of years of weak governance and ongoing efforts to find more direct, transparent ways to enable citizens to reap the benefits of independence and – once it materializes – peace.
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    Kyrgyz Republic: Poverty Profile for 2013
    (World Bank, Washington, DC, 2015-05-21) World Bank Group
    Over the last decade, the Kyrgyz Republic experienced volatile but positive economic growth. Since the early 2000s, the share of working age population has been growing robustly and foreign labor markets have been an important source of employment. The Kyrgyz Republic has achieved large reductions in poverty over the past decade, but in recent years progress has diminished. During 2003-2012, the Kyrgyz Republic saw significant convergence between urban and rural poverty rates. Poverty reduction during 2003-2013 was driven mostly by growth rather than redistribution.
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    Labor Migration and Welfare in the Kyrgyz Republic (2008-2013)
    (World Bank, Washington, DC, 2015-05-08) World Bank Group
    This paper examines the impact of labor migration from a welfare and social development perspective. Rather than focusing on regulatory and legal aspects determining migration, this note centers on the impacts of migration on the domestic welfare of households in the Kyrgyz Republic. The profiling of labor migration and identification of knowledge gaps are used to inform the development of strategies for more effective and sustainable welfare impacts from labor migration and remittances.
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    Poverty and Shared Prosperity in Russia: Deconstructing Russia’s Shared Prosperity Success -- The Role of Labor and Non-Labor Income
    (Washington, DC, 2015-05) World Bank
    The Russian Federation has sustained significant growth over the past decade, accompanied by high rates of income mobility for all groups in the population. The positive outcomes in economic growth were accompanied by economic mobility for most households, reflected in substantial poverty reduction. Inclusive growth has led to a positive performance of the country in terms of shared prosperity - measured by the income and consumption growth of the bottom 40 percent of the welfare distribution. Notwithstanding the positive performance observed, the recent trends suggest sustainability concerns. Alongside the inclusive economic growth, economic mobility has improved remarkably in the country as reflected by the growth of the middle class. Upward economic mobility in Russia appears to be the result of both increases in average income levels and changes in the distribution of income. Given the positive outcomes observed, the question is, to what extent is Russia’s favorable performance in terms of shared prosperity sustainable? To this end, this note explores the main drivers behind the progress to date. The evolutions of the labor market, on one hand, and the incidence of the fiscal system, on the other, appear as the two main factors driving the observed poverty reduction, increase in the income of the bottom 40, and growth of the middle class in Russia. The note is structured as follows: section one gives introduction. Section two presents an analysis of labor income, including an overview of market dynamics and the reduction of wage inequality in the country. Section three presents a summary of the lessons derived from the analysis that can inform policy dialogue and contribute to ensuring the sustainability of the progress achieved in shared prosperity going forward.
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    Braving the Storm: Poverty and Inequality in Bosnia and Herzegovina 2007-2011
    (World Bank, Washington, DC, 2015-05) World Bank ; Agency for Statistics of Bosnia and Herzegovina ; FBiH Institute for Statistics ; RS Institute for Statistics ; AGe
    This note describes the trends in, and composition of, absolute poverty based on household expenditures, and is thus concerned, as a matter of policy objectives, with access of the population to a particular minimum standard of living. This should be viewed as complementary to the companion note on social exclusion based on Europe 2020 indicators including the relative at-risk-of-poverty (AROP) rate, focuses on low income in relation to other residents in a given country. In addition to the analysis of absolute poverty, the note also presents an analysis of inclusive growth, aimed at assessing whether income growth (losses) benefit (impact) differentially the lowest part (here, bottom forty percent) of the distribution. Other approaches, such as those including measures of poverty based on current income, or self-reported measures of affordability, or approached that differ in the way they set the poverty threshold exist. The choice of World Bank’s methodology for purposes of this report is primarily on pragmatic grounds: (i) it allows for the analysis of trends during 2007-2011; (ii) the same methodology was adopted in the previous report (World Bank 2009) to analyze poverty trends during 2004-2007, thus providing a longer trend; (iii) it allows for comparisons of trends across the entities of BiH.
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    FYR of Macedonia: Measuring Welfare using the Survey of Income and Living Conditions
    (Washington, DC, 2015-05) World Bank
    This note expands the analysis on poverty and income distribution reported by the FYR Macedonia SSO for 2010 and 2011. The present work is based on an analysis performed in-situ by World Bank staff on the offices of the FYR Macedonian SSO.