The Impact of Economic Reforms in Rural Households in Ethiopia : A Study from 1989 to 1995

This study examines the poverty, and growth experience of six villages in rural Ethiopia, from 1989 to 1995. The time period was one of relative peace politically, which promoted considerable change in economic policies pertaining to the rural sect...

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Main Author: Dercon, Stefan
Format: Publication
Language:English
en_US
Published: Washington, DC: World Bank 2013
Subjects:
CPI
GDP
Online Access:http://documents.worldbank.org/curated/en/2002/04/1753761/impact-economic-reforms-rural-households-ethiopia
http://hdl.handle.net/10986/13980
id okr-10986-13980
recordtype oai_dc
spelling okr-10986-139802021-04-23T14:03:11Z The Impact of Economic Reforms in Rural Households in Ethiopia : A Study from 1989 to 1995 Dercon, Stefan ADJUSTMENT PROCESS AGRICULTURE ARBITRAGE AUCTIONS AVERAGE GROWTH AVERAGE GROWTH RATE BARLEY BLACK MARKET BLACK MARKET PREMIUM BLACK MARKETS BORDER PRICE CAPITAL FORMATION COFFEE PRICES CONSUMER PRICE INDEX CONSUMERS CONSUMPTION GROWTH CPI DATA SETS DEFLATORS DEPENDENT VARIABLE DEVALUATION DEVELOPMENT PROJECTS DOMESTIC MARKETS ECONOMETRIC ANALYSIS ECONOMIC CHANGE ECONOMIC INCENTIVES ECONOMIC POLICY ECONOMIC REFORM ECONOMIC REFORMS ECONOMIC THEORY ECONOMICS EQUILIBRIUM EXCHANGE RATE EXPORT TAXES EXTERNAL SHOCKS FIXED PRICES FOOD POLICY RESEARCH FOREIGN EXCHANGE GDP GDP DEFLATOR GDP PER CAPITA GROSS DOMESTIC PRODUCT GROWTH RATE HIGH TAXES HUMAN CAPITAL INCOME INCOME DATA INCOME EFFECT INCOME EFFECTS INCOME GROWTH INDIVIDUAL FARMERS INFLATION INVESTMENT EXPENDITURES LAND REDISTRIBUTION LAND REFORM LOW INFLATION MACROECONOMIC PERFORMANCE MARKET LIBERALIZATION MARKET PRICES MARKET REFORMS MARKET VALUE MARKETING MIXED ECONOMY NATIONAL ACCOUNTS OVERVALUATION PERSISTENT POVERTY PLANNED ECONOMY POLICY CHANGES POLICY REFORMS POOR HOUSEHOLDS POSITIVE EFFECTS POVERTY ALLEVIATION POVERTY CHANGES POVERTY DYNAMICS POVERTY GAP POVERTY OUTCOMES POVERTY REDUCTION PRICE CHANGES PRICE CONTROLS PRICE FLUCTUATIONS PRICE INCREASES PRIVATE CONSUMPTION PRO-POOR PRODUCER PRICE INCREASES PRODUCER PRICES PRODUCERS PRODUCTION FUNCTIONS PRODUCTIVITY REAL EXCHANGE RATE REAL GDP REAL INCOME REAL INCOMES REFORM PROGRAM RELATIVE PRICES RURAL AREAS RURAL COMMUNITIES RURAL POVERTY SALES SCIENTIFIC RESEARCH SECTOR ACTIVITIES SIGNIFICANT IMPACT SPREAD STRUCTURAL ADJUSTMENT SURPLUS TAX REVENUE TAXATION TERMS OF TRADE TIME SERIES TRADE TAXES UNDERVALUATION URBAN AREAS WELFARE EFFECTS This study examines the poverty, and growth experience of six villages in rural Ethiopia, from 1989 to 1995. The time period was one of relative peace politically, which promoted considerable change in economic policies pertaining to the rural sector. As a result, local growth out-performed the average growth rate in gross domestic product. The focus of the study is the link between economic reforms, growth, and changes in poverty. The author poses the question: Can the observed reduction in poverty be explained by reform-induced higher returns to physical, and human capital, or simply by better weather? To find the answer, a profit function framework is employed to explain growth using prices, and endowments of land, labor, human capital, and location characteristics, with controls for shocks (for example, ill health and drought). The analysis finds that, on average, the poor has benefited more from the reforms than have the non-poor. But the experience of the poor is mixed, with some out-performing all other households, and others persisting in poverty. Although economic reforms do not deliver similar benefits to all the poor, there are high costs for withholding reforms. The study also highlights the effects of shocks on households, and the need for social protection measures, in a poverty reduction strategy. 2013-06-17T19:57:07Z 2013-06-17T19:57:07Z 2002-04 http://documents.worldbank.org/curated/en/2002/04/1753761/impact-economic-reforms-rural-households-ethiopia 0-8213-5034-X http://hdl.handle.net/10986/13980 English en_US Poverty Dynamics in Africa; CC BY 3.0 IGO http://creativecommons.org/licenses/by/3.0/igo World Bank Washington, DC: World Bank Publications & Research :: Publication Publications & Research :: Publication Africa Ethiopia
repository_type Digital Repository
institution_category Foreign Institution
institution Digital Repositories
building World Bank Open Knowledge Repository
collection World Bank
language English
en_US
topic ADJUSTMENT PROCESS
AGRICULTURE
ARBITRAGE
AUCTIONS
AVERAGE GROWTH
AVERAGE GROWTH RATE
BARLEY
BLACK MARKET
BLACK MARKET PREMIUM
BLACK MARKETS
BORDER PRICE
CAPITAL FORMATION
COFFEE PRICES
CONSUMER PRICE INDEX
CONSUMERS
CONSUMPTION GROWTH
CPI
DATA SETS
DEFLATORS
DEPENDENT VARIABLE
DEVALUATION
DEVELOPMENT PROJECTS
DOMESTIC MARKETS
ECONOMETRIC ANALYSIS
ECONOMIC CHANGE
ECONOMIC INCENTIVES
ECONOMIC POLICY
ECONOMIC REFORM
ECONOMIC REFORMS
ECONOMIC THEORY
ECONOMICS
EQUILIBRIUM
EXCHANGE RATE
EXPORT TAXES
EXTERNAL SHOCKS
FIXED PRICES
FOOD POLICY RESEARCH
FOREIGN EXCHANGE
GDP
GDP DEFLATOR
GDP PER CAPITA
GROSS DOMESTIC PRODUCT
GROWTH RATE
HIGH TAXES
HUMAN CAPITAL
INCOME
INCOME DATA
INCOME EFFECT
INCOME EFFECTS
INCOME GROWTH
INDIVIDUAL FARMERS
INFLATION
INVESTMENT EXPENDITURES
LAND REDISTRIBUTION
LAND REFORM
LOW INFLATION
MACROECONOMIC PERFORMANCE
MARKET LIBERALIZATION
MARKET PRICES
MARKET REFORMS
MARKET VALUE
MARKETING
MIXED ECONOMY
NATIONAL ACCOUNTS
OVERVALUATION
PERSISTENT POVERTY
PLANNED ECONOMY
POLICY CHANGES
POLICY REFORMS
POOR HOUSEHOLDS
POSITIVE EFFECTS
POVERTY ALLEVIATION
POVERTY CHANGES
POVERTY DYNAMICS
POVERTY GAP
POVERTY OUTCOMES
POVERTY REDUCTION
PRICE CHANGES
PRICE CONTROLS
PRICE FLUCTUATIONS
PRICE INCREASES
PRIVATE CONSUMPTION
PRO-POOR
PRODUCER PRICE INCREASES
PRODUCER PRICES
PRODUCERS
PRODUCTION FUNCTIONS
PRODUCTIVITY
REAL EXCHANGE RATE
REAL GDP
REAL INCOME
REAL INCOMES
REFORM PROGRAM
RELATIVE PRICES
RURAL AREAS
RURAL COMMUNITIES
RURAL POVERTY
SALES
SCIENTIFIC RESEARCH
SECTOR ACTIVITIES
SIGNIFICANT IMPACT
SPREAD
STRUCTURAL ADJUSTMENT
SURPLUS
TAX REVENUE
TAXATION
TERMS OF TRADE
TIME SERIES
TRADE TAXES
UNDERVALUATION
URBAN AREAS
WELFARE EFFECTS
spellingShingle ADJUSTMENT PROCESS
AGRICULTURE
ARBITRAGE
AUCTIONS
AVERAGE GROWTH
AVERAGE GROWTH RATE
BARLEY
BLACK MARKET
BLACK MARKET PREMIUM
BLACK MARKETS
BORDER PRICE
CAPITAL FORMATION
COFFEE PRICES
CONSUMER PRICE INDEX
CONSUMERS
CONSUMPTION GROWTH
CPI
DATA SETS
DEFLATORS
DEPENDENT VARIABLE
DEVALUATION
DEVELOPMENT PROJECTS
DOMESTIC MARKETS
ECONOMETRIC ANALYSIS
ECONOMIC CHANGE
ECONOMIC INCENTIVES
ECONOMIC POLICY
ECONOMIC REFORM
ECONOMIC REFORMS
ECONOMIC THEORY
ECONOMICS
EQUILIBRIUM
EXCHANGE RATE
EXPORT TAXES
EXTERNAL SHOCKS
FIXED PRICES
FOOD POLICY RESEARCH
FOREIGN EXCHANGE
GDP
GDP DEFLATOR
GDP PER CAPITA
GROSS DOMESTIC PRODUCT
GROWTH RATE
HIGH TAXES
HUMAN CAPITAL
INCOME
INCOME DATA
INCOME EFFECT
INCOME EFFECTS
INCOME GROWTH
INDIVIDUAL FARMERS
INFLATION
INVESTMENT EXPENDITURES
LAND REDISTRIBUTION
LAND REFORM
LOW INFLATION
MACROECONOMIC PERFORMANCE
MARKET LIBERALIZATION
MARKET PRICES
MARKET REFORMS
MARKET VALUE
MARKETING
MIXED ECONOMY
NATIONAL ACCOUNTS
OVERVALUATION
PERSISTENT POVERTY
PLANNED ECONOMY
POLICY CHANGES
POLICY REFORMS
POOR HOUSEHOLDS
POSITIVE EFFECTS
POVERTY ALLEVIATION
POVERTY CHANGES
POVERTY DYNAMICS
POVERTY GAP
POVERTY OUTCOMES
POVERTY REDUCTION
PRICE CHANGES
PRICE CONTROLS
PRICE FLUCTUATIONS
PRICE INCREASES
PRIVATE CONSUMPTION
PRO-POOR
PRODUCER PRICE INCREASES
PRODUCER PRICES
PRODUCERS
PRODUCTION FUNCTIONS
PRODUCTIVITY
REAL EXCHANGE RATE
REAL GDP
REAL INCOME
REAL INCOMES
REFORM PROGRAM
RELATIVE PRICES
RURAL AREAS
RURAL COMMUNITIES
RURAL POVERTY
SALES
SCIENTIFIC RESEARCH
SECTOR ACTIVITIES
SIGNIFICANT IMPACT
SPREAD
STRUCTURAL ADJUSTMENT
SURPLUS
TAX REVENUE
TAXATION
TERMS OF TRADE
TIME SERIES
TRADE TAXES
UNDERVALUATION
URBAN AREAS
WELFARE EFFECTS
Dercon, Stefan
The Impact of Economic Reforms in Rural Households in Ethiopia : A Study from 1989 to 1995
geographic_facet Africa
Ethiopia
relation Poverty Dynamics in Africa;
description This study examines the poverty, and growth experience of six villages in rural Ethiopia, from 1989 to 1995. The time period was one of relative peace politically, which promoted considerable change in economic policies pertaining to the rural sector. As a result, local growth out-performed the average growth rate in gross domestic product. The focus of the study is the link between economic reforms, growth, and changes in poverty. The author poses the question: Can the observed reduction in poverty be explained by reform-induced higher returns to physical, and human capital, or simply by better weather? To find the answer, a profit function framework is employed to explain growth using prices, and endowments of land, labor, human capital, and location characteristics, with controls for shocks (for example, ill health and drought). The analysis finds that, on average, the poor has benefited more from the reforms than have the non-poor. But the experience of the poor is mixed, with some out-performing all other households, and others persisting in poverty. Although economic reforms do not deliver similar benefits to all the poor, there are high costs for withholding reforms. The study also highlights the effects of shocks on households, and the need for social protection measures, in a poverty reduction strategy.
format Publications & Research :: Publication
author Dercon, Stefan
author_facet Dercon, Stefan
author_sort Dercon, Stefan
title The Impact of Economic Reforms in Rural Households in Ethiopia : A Study from 1989 to 1995
title_short The Impact of Economic Reforms in Rural Households in Ethiopia : A Study from 1989 to 1995
title_full The Impact of Economic Reforms in Rural Households in Ethiopia : A Study from 1989 to 1995
title_fullStr The Impact of Economic Reforms in Rural Households in Ethiopia : A Study from 1989 to 1995
title_full_unstemmed The Impact of Economic Reforms in Rural Households in Ethiopia : A Study from 1989 to 1995
title_sort impact of economic reforms in rural households in ethiopia : a study from 1989 to 1995
publisher Washington, DC: World Bank
publishDate 2013
url http://documents.worldbank.org/curated/en/2002/04/1753761/impact-economic-reforms-rural-households-ethiopia
http://hdl.handle.net/10986/13980
_version_ 1764424966383599616