The Nature and Dynamics of Poverty Determinants in Burkina Faso in the 1990s
The author investigates the determinants and dynamics of poverty during the five-year growth period that followed the 1994 CFA franc devaluation in Burkina Faso. Results show that the nature and dynamics of poverty determinants are influenced by th...
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Format: | Policy Research Working Paper |
Language: | English en_US |
Published: |
World Bank, Washington, D.C.
2013
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Subjects: | |
Online Access: | http://documents.worldbank.org/curated/en/2002/05/1798587/nature-dynamics-poverty-determinants-burkina-faso-1990s http://hdl.handle.net/10986/14795 |
Summary: | The author investigates the determinants
and dynamics of poverty during the five-year growth period
that followed the 1994 CFA franc devaluation in Burkina
Faso. Results show that the nature and dynamics of poverty
determinants are influenced by the spatial location of
households and that the post-devaluation growth period did
not significantly alter the pattern of poverty determinants.
The most significant determinants of poverty over the growth
period include the burden of age dependency, human and
physical assets, household amenities, and spatial location.
Though consistently significant at the national level, the
direction of association between these determinants and
welfare depends on their nature. While the burden of age
dependency is consistently negatively associated with
welfare, asset ownership is positively associated. The
probability of being poor declines with increasing share of
household assets and increases with the burden of age
dependency. There are some variations at the regional level,
however, shown by the difference in the scope of
significance of these determinants. While the ratio of age
dependency remains the most significant determinant of rural
poverty, its explanatory power decreases considerably in
urban areas where its marginal effect on the probability of
being poor is relatively low over the two reference periods,
despite the significance of the probit coefficient and the
relatively low asymptotic standard error. |
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