Todo, YasuyukiChristiaensen, Luc2013-09-042013-09-042013-05https://hdl.handle.net/10986/15587As countries develop, they restructure away from agriculture and urbanize. But structural transformation and urbanization patterns differ substantially, with some countries fostering migration out of agriculture into rural off farm activities and secondary towns, and others undergoing rapid agglomeration in mega cities. Using cross-country panel data for developing countries spanning 1980-2004, the analysis in this paper finds that migration out of agriculture into the missing middle (the rural nonfarm economy and secondary towns) yields more inclusive growth patterns and faster poverty reduction than agglomeration in mega cities. This suggests that patterns of urbanization deserve much more attention when striving for faster poverty reduction.en-USCC BY 3.0 IGOABSOLUTE TERMSACCESS TO INFORMATIONAGGREGATE INCOMEAGRICULTURAL EMPLOYMENTAGRICULTURAL GROWTHAGRICULTURAL INCOMESAGRICULTURAL PRODUCTSAGRICULTURAL SECTORAGRICULTURAL WAGESANNUAL CHANGEANNUAL GROWTHANNUAL GROWTH RATEAVERAGE INCOMEAVERAGE INCOME GROWTHBASIC INFRASTRUCTURECHANGES IN POVERTYCITIESCOUNTRY CASECOUNTRY CHARACTERISTICSCOUNTRY LEVELCOUNTRY SPECIFICCURRENT POVERTYDECOMPOSABLE POVERTYDEPENDENT VARIABLEDEVELOPING COUNTRIESDEVELOPING WORLDDEVELOPMENT ECONOMICSDEVELOPMENT INDICATORSDEVELOPMENT POLICYDEVELOPMENT REPORTDISTRIBUTION EFFECTDISTRIBUTIONAL CHANGEDIVERSIFICATIONDYNAMIC PANELECONOMIC DEVELOPMENTECONOMIC GROWTHECONOMIC POLICYECONOMIC STUDIESECONOMICSECONOMICS LITERATUREECONOMIES OF SCALEEMPIRICAL APPLICATIONEMPIRICAL REGULARITIESEMPLOYMENT EQUATIONSEMPLOYMENT GENERATIONERROR TERMERROR TERMSESTIMATED COEFFICIENTSESTIMATION METHODESTIMATION RESULTSESTIMATION TECHNIQUESEXTRACTIVE INDUSTRIESFARM ACTIVITIESFARM EMPLOYMENTFARM HOUSEHOLDSFARM WORKFARMERSFIXED EFFECTSFOOD POLICYFOOD SECURITYGDP PER CAPITAGINI COEFFICIENTGLOBAL POVERTYGROWTH EFFECTGROWTH ELASTICITYGROWTH PATTERNGROWTH PRO-POORGROWTH PROCESSGROWTH RATEGROWTH RATESHEAD COUNT RATIOHEADCOUNT POVERTYHEADCOUNT RATIOHIGHER INEQUALITYHOUSINGIMPACT ON POVERTYINCOMEINCOME CONSTANTINCOME DISTRIBUTIONINCOME DISTRIBUTIONSINCOME GROWTHINCOME INEQUALITYINCOME LEVELSINEQUALITYINHABITANTSLAND INEQUALITYLIVELIHOOD STRATEGIESNATIONAL POVERTYNONFARM INCOMEPER CAPITA GROWTHPOLICY IMPLICATIONSPOLICY RESEARCHPOLITICAL ECONOMYPOORPOOR BENEFITPOOR LIVINGPOOR PEOPLEPOPULATION SHAREPOVERTY ALLEVIATIONPOVERTY DATAPOVERTY DECLINEPOVERTY GAPPOVERTY HEADPOVERTY INCIDENCEPOVERTY LEVELPOVERTY LEVELSPOVERTY LINEPOVERTY MEASUREPOVERTY MEASURESPOVERTY OUTCOMESPOVERTY RATESPOVERTY REDUCINGPOVERTY REDUCTIONPPPPRO-POORPRO-POOR GROWTHPUBLIC INVESTMENTREDUCING POVERTYREDUCTION OF POVERTYREGIONAL DUMMIESREGIONAL GROWTHREGIONAL SCIENCERELATIVE INCOMESRURALRURAL AREASRURAL ECONOMYRURAL INCOMERURAL MIGRANTSRURAL PHENOMENONRURAL POORRURAL POVERTYRURAL POVERTY REDUCTIONRURAL RESIDENTSRURAL SERVICESRURAL TOWNSRURAL UNEMPLOYMENTRURAL VILLAGESSECTORAL COMPOSITIONSIGNIFICANT EFFECTSKILLED LABORSKILLED WORKERSSPATIAL DISTRIBUTIONSPATIAL DYNAMICSSTRUCTURAL TRANSFORMATIONTOTAL POPULATIONUNEMPLOYMENT RATESURBAN AREASURBAN POORURBAN POPULATIONURBAN POVERTYURBANIZATIONWORKFORCEWorld Bank10.1596/1813-9450-6445