Agricultural Productivity, Hired Labor, Wages and Poverty : Evidence from Bangladesh

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collection.link.5
https://openknowledge.worldbank.org/handle/10986/9
collection.name.5
Policy Research Working Papers
dc.contributor.author
Emran, Shahe
dc.contributor.author
Shilpi, Forhad
dc.date.accessioned
2014-11-12T21:41:09Z
dc.date.available
2014-11-12T21:41:09Z
dc.date.issued
2014-10
dc.date.lastModified
2017-12-14T05:36:32Z
dc.description.abstract
This paper provides evidence on the effects of agricultural productivity on wage rates, labor supply to market oriented activities, and labor allocation between own farming and wage labor in agriculture. To guide the empirical work, this paper develops a general equilibrium model that underscores the role of reallocation of family labor engaged in the production of non-marketed services at home (`home production'). The model predicts positive effects of a favorable agricultural productivity shock on wages and income, but the effect on hired labor is ambiguous; it depends on the strength of reallocation of labor from home to market production by labor surplus and deficit households. Taking rainfall variations as a measure of shock to agricultural productivity, and using subdistrict level panel data from Bangladesh, this paper finds significant positive effects of a favorable rainfall shock on agricultural wages, labor supply to market work, and per capita household expenditure. The share of hired labor in contrast declines substantially in response to a favorable productivity shock, which is consistent with a case where labor-deficit households respond more than the labor-surplus ones in reallocating labor from home production.
en
dc.identifier
http://documents.worldbank.org/curated/en/2014/10/20270087/agricultural-productivity-hired-labor-wages-poverty-evidence-bangladesh
dc.identifier.uri
http://hdl.handle.net/10986/20518
dc.language
English
dc.language.iso
en_US
dc.publisher
World Bank Group, Washington, DC
dc.relation.ispartofseries
Policy Research Working Paper;No. 7056
dc.rights
CC BY 3.0 IGO
dc.rights.uri
http://creativecommons.org/licenses/by/3.0/igo/
dc.subject
ACCESS TO MARKETS
dc.subject
ACCOUNTING
dc.subject
ACTIVE LABOR
dc.subject
AGRICULTURAL DEVELOPMENT
dc.subject
AGRICULTURAL EMPLOYMENT
dc.subject
AGRICULTURAL GROWTH
dc.subject
AGRICULTURAL LAND
dc.subject
AGRICULTURAL PRODUCTION
dc.subject
AGRICULTURAL PRODUCTIVITY
dc.subject
AGRICULTURAL PRODUCTIVITY GROWTH
dc.subject
AGRICULTURAL SECTOR
dc.subject
AGRICULTURAL WAGE
dc.subject
AGRICULTURAL WAGES
dc.subject
AGRICULTURAL YIELDS
dc.subject
AGRICULTURE
dc.subject
CD
dc.subject
CLIMATE CHANGE
dc.subject
COMMODITY PRICE
dc.subject
CONSTANT RETURNS TO SCALE
dc.subject
CROP SCIENTISTS
dc.subject
CROP YIELD
dc.subject
DEMAND CURVE
dc.subject
DEVELOPMENT ECONOMICS
dc.subject
DEVELOPMENT POLICY
dc.subject
DIMINISHING RETURNS
dc.subject
ECONOMETRIC ANALYSIS
dc.subject
ECONOMIC GROWTH
dc.subject
ECONOMICS
dc.subject
ELASTICITY
dc.subject
EMPLOYMENT
dc.subject
EMPLOYMENT IN AGRICULTURE
dc.subject
EMPLOYMENT OPPORTUNITIES
dc.subject
EXCLUSION RESTRICTION
dc.subject
EXPANSION OF IRRIGATION
dc.subject
EXPENDITURE
dc.subject
FAMILY LABOR
dc.subject
FARM ACTIVITIES
dc.subject
FARM PRODUCTION
dc.subject
FIRING COSTS
dc.subject
FOOD OUTPUT
dc.subject
FOOD PRODUCTION
dc.subject
GDP
dc.subject
GENERAL EQUILIBRIUM
dc.subject
GROWTH RATE
dc.subject
HOUSEHOLD CONSUMPTION
dc.subject
HOUSEHOLD INCOME
dc.subject
HOUSEHOLD SURVEYS
dc.subject
HOUSEHOLD WELFARE
dc.subject
HUMAN CAPITAL
dc.subject
INCIDENCE OF POVERTY
dc.subject
INCOME
dc.subject
INCOME GAINS
dc.subject
INDUSTRIALIZATION
dc.subject
INTERNATIONAL MARKET
dc.subject
IRRIGATION
dc.subject
IRRIGATION EXPANSION
dc.subject
LABOR ALLOCATION
dc.subject
LABOR DEMAND
dc.subject
LABOR FORCE
dc.subject
LABOR MARKET
dc.subject
LABOR MARKET INDICATORS
dc.subject
LABOR MARKET OUTCOMES
dc.subject
LABOR MARKET RIGIDITY
dc.subject
LABOR MARKETS
dc.subject
LABOR REALLOCATION
dc.subject
LABOR SUPPLY
dc.subject
LABORERS
dc.subject
MACROECONOMIC SHOCKS
dc.subject
MARKET INTEGRATION
dc.subject
MARKET WAGE
dc.subject
MARKETING
dc.subject
NON-FARM EMPLOYMENT
dc.subject
NON-FARM SECTOR
dc.subject
NORMAL GOOD
dc.subject
OPPORTUNITY COST
dc.subject
PER CAPITA CONSUMPTION
dc.subject
POLITICAL ECONOMY
dc.subject
POOR
dc.subject
POOR HOUSEHOLDS
dc.subject
POOR PEOPLE
dc.subject
POOR RURAL HOUSEHOLDS
dc.subject
POSITIVE EFFECTS
dc.subject
POVERTY IMPACT
dc.subject
POVERTY INCIDENCE
dc.subject
POVERTY REDUCTION
dc.subject
PRICE CHANGES
dc.subject
PRODUCTION FUNCTION
dc.subject
PRODUCTION POSSIBILITY CURVE
dc.subject
PRODUCTIVE ASSETS
dc.subject
PRODUCTIVITY
dc.subject
PRODUCTIVITY GROWTH
dc.subject
PRODUCTIVITY INCREASE
dc.subject
PRODUCTIVITY INCREASES
dc.subject
REAL WAGE
dc.subject
RETURNS TO SCALE
dc.subject
RURAL
dc.subject
RURAL AREAS
dc.subject
RURAL DEVELOPMENT
dc.subject
RURAL ECONOMY
dc.subject
RURAL INEQUALITY
dc.subject
RURAL LABOR
dc.subject
RURAL LABOR MARKET
dc.subject
RURAL LABOR MARKETS
dc.subject
RURAL POVERTY
dc.subject
RURAL TOWNS
dc.subject
RURAL WAGES
dc.subject
SELF EMPLOYMENT
dc.subject
SKILLED LABOR
dc.subject
STRUCTURAL CHANGE
dc.subject
SUBSTITUTE
dc.subject
SUBSTITUTION
dc.subject
SUPPLY CURVE
dc.subject
SUPPLY ELASTICITY
dc.subject
SUPPLY FUNCTION
dc.subject
SURPLUS
dc.subject
SURPLUS LABOR
dc.subject
TOTAL EMPLOYMENT
dc.subject
TOTAL FACTOR PRODUCTIVITY
dc.subject
UNEMPLOYED
dc.subject
UNEMPLOYMENT
dc.subject
UNSKILLED WORKERS
dc.subject
UTILITY FUNCTION
dc.subject
WAGE DATA
dc.subject
WAGE EMPLOYMENT
dc.subject
WAGE INCREASE
dc.subject
WAGE INCREASES
dc.subject
WAGE RATE
dc.subject
WAGE RATES
dc.subject
WAGES
dc.subject
WAR
dc.title
Agricultural Productivity, Hired Labor, Wages and Poverty : Evidence from Bangladesh
en
okr.date.disclosure
2014-10-15
okr.doctype
Publications & Research
okr.doctype
Publications & Research :: Policy Research Working Paper
okr.docurl
http://documents.worldbank.org/curated/en/2014/10/20270087/agricultural-productivity-hired-labor-wages-poverty-evidence-bangladesh
okr.globalpractice
Social Protection and Labor
okr.globalpractice
Agriculture
okr.globalpractice
Poverty
okr.googlescholar.linkpresent
yes
okr.identifier.doi
10.1596/1813-9450-7056
okr.identifier.externaldocumentum
000158349_20141007155814
okr.identifier.internaldocumentum
20270087
okr.identifier.report
WPS7056
okr.language.supported
en
okr.pdfurl
http://www-wds.worldbank.org/external/default/WDSContentServer/WDSP/IB/2014/10/07/000158349_20141007155814/Rendered/PDF/WPS7056.pdf
en
okr.region.administrative
South Asia
okr.region.country
Bangladesh
okr.topic
Poverty Reduction :: Rural Poverty Reduction
okr.topic
Macroeconomics and Economic Growth :: Markets and Market Access
okr.topic
Economic Theory and Research
okr.topic
Social Protections and Labor :: Labor Markets
okr.topic
Social Protections and Labor :: Labor Policies
okr.unit
Agriculture and Rural Development Team, Development Research Group

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