De Weerdt, JoachimChristiaensen, LucTodo, Yasuyuki2013-09-042013-09-042013-04https://hdl.handle.net/10986/15562A rather unique panel tracking more than 3,300 individuals from households in rural Kagera, Tanzania during 1991/4-2010 shows that about one in two individuals/households who exited poverty did so by transitioning from agriculture into the rural nonfarm economy or secondary towns. Only one in seven exited poverty by migrating to a large city, although those moving to a city experienced on average faster consumption growth. Further analysis of a much larger cross-country panel of 51 developing countries cannot reject that rural diversification and secondary town development lead to more inclusive growth patterns than metropolitization. Indications are that this follows because more of the poor find their way to the rural nonfarm economy and secondary towns, than to distant cities. The development discourse would benefit from shifting beyond the rural-urban dichotomy and focusing instead more on how best to urbanize and develop the rural nonfarm economy and secondary towns.en-USCC BY 3.0 IGOABSOLUTE TERMSACCESS TO INFORMATIONACCESS TO SERVICESAGGREGATE INCOMEAGRICULTURAL ACTIVITIESAGRICULTURAL EMPLOYMENTAGRICULTURAL GROWTHAGRICULTURAL PRODUCTIONAGRICULTURAL PRODUCTIVITYAGRICULTURAL SECTORAGRICULTURAL WAGESANNUAL CHANGEBASIC INFRASTRUCTUREBIG CITIESBIG CITYCAPITAL MARKETSCASH CROPSCHANGES IN POVERTYCOMPARATIVE ADVANTAGECONFLICTCONSUMPTION AGGREGATECONSUMPTION DATACONSUMPTION GROWTHCONSUMPTION PER CAPITACOUNTRY SPECIFICCROSS-COUNTRY ANALYSISCROSS-COUNTRY LEVELDECOMPOSABLE POVERTYDEFINITIONS OF POVERTYDEMAND FOR FOODDEMOCRACYDEPENDENCY RATIODEVELOPING COUNTRIESDEVELOPING WORLDDEVELOPMENT ECONOMICSDEVELOPMENT INDICATORSDEVELOPMENT POLICYDEVELOPMENT REPORTDISTRIBUTIONAL EFFECTSDIVERSIFICATIONECONOMIC DEVELOPMENTECONOMIC GROWTHECONOMIC IMPACTECONOMIC OPPORTUNITIESECONOMIC POLICYECONOMICSECONOMICS LITERATUREEMPIRICAL REGULARITIESEMPLOYMENT GENERATIONERROR TERMERROR TERMSESTIMATION TECHNIQUESEXTENDED FAMILYFAMILY MEMBERSFARM ACTIVITIESFARM EMPLOYMENTFARM HOUSEHOLDSFARMERFARMERSFEWER PEOPLEFIGHT AGAINST POVERTYFIXED EFFECTSFOOD CONSUMPTIONFOOD CROPSFOOD EXPENDITUREFOOD PROCESSINGFORCED MIGRATIONGINI COEFFICIENTGLOBAL POVERTYGROWTH PATTERNGROWTH PROCESSGROWTH RATEGROWTH RATE OF POPULATIONGROWTH RATESHEADCOUNT RATIOHEALTH CONSEQUENCESHEALTH EXPENDITURESHIVHOSPITALHOUSEHOLD BUDGETHOUSEHOLD DYNAMICSHOUSEHOLD LEVELHOUSEHOLD SIZEHOUSEHOLD SURVEYHOUSINGHUMAN CAPITALINCOMEINCOME DISTRIBUTIONINCOME GROWTHINCOME INEQUALITYINCOME LEVELSINEQUALITYINTERNAL MIGRATIONINTERREGIONAL TRANSPORTJOB CREATIONLACK OF CREDITLAND INEQUALITYLARGE CITIESMIGRANTMIGRATION FLOWSNATIONAL GOVERNMENTSNEGATIVE EXTERNALITIESNUMBER OF HOUSEHOLDSNUMBER OF PEOPLEPEACEPER CAPITA GROWTHPOLICY DISCUSSIONSPOLICY RESEARCHPOLICY RESEARCH WORKING PAPERPOLITICAL ECONOMYPOORPOOR PEOPLEPOOR RURAL HOUSEHOLDSPOORER HOUSEHOLDSPOPULATION AND DEVELOPMENTPOPULATION DATAPOPULATION GROWTHPOPULATION PROJECTIONSPOPULATION SHAREPOVERTY ALLEVIATIONPOVERTY CHANGESPOVERTY DATAPOVERTY DECLINEPOVERTY DYNAMICSPOVERTY GAPPOVERTY HEADPOVERTY LINEPOVERTY LINE CHANGEPOVERTY MEASUREPOVERTY MEASURESPOVERTY RATEPOVERTY REDUCINGPOVERTY REDUCTIONPRO-POORPROGRESSPURCHASING POWERREDUCING POVERTYREFUGEESREGIONAL GROWTHREGIONAL SCIENCEREMITTANCESRISK SHARINGRURALRURAL AREASRURAL DISPARITIESRURAL DWELLERSRURAL ECONOMYRURAL HOUSEHOLDSRURAL MIGRANTSRURAL POORRURAL POVERTYRURAL POVERTY REDUCTIONRURAL TOWNSRURAL UNEMPLOYMENTRURAL VILLAGESRURAL WORKERSSECTORAL COMPOSITIONSELF-EMPLOYMENTSERVICE PROVIDERSSKILLED WORKERSSMALL COUNTRIESSOCIAL AFFAIRSSOCIAL SAFETY NETSSOCIAL SERVICESSPATIAL ALLOCATIONSPATIAL DEVELOPMENTSPATIAL DISTRIBUTIONSPILLOVERSTRUCTURAL TRANSFORMATIONTOTAL POVERTYUNEMPLOYMENTUNEMPLOYMENT RATESURBAN AGGLOMERATIONSURBAN AREASURBAN CENTERSURBAN DEVELOPMENTURBAN MIGRATIONURBAN POPULATIONURBAN POVERTYURBAN SOCIAL NETWORKSURBAN-RURAL DISPARITIESURBANIZATIONWARSWORKFORCEUrbanization and Poverty Reduction : The Role of Rural Diversification and Secondary TownsWorld Bank10.1596/1813-9450-6422