Urbanization and Poverty Reduction : The Role of Rural Diversification and Secondary Towns

De Weerdt, Joachim; Christiaensen, Luc; Todo, Yasuyuki

Urbanization and Poverty Reduction : The Role of Rural Diversification and Secondary Towns

Autores

De Weerdt, Joachim

Christiaensen, Luc

Todo, Yasuyuki

Editor

World Bank, Washington, DC

Descripción

A 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.

Palabras clave

ABSOLUTE TERMS, ACCESS TO INFORMATION, ACCESS TO SERVICES, AGGREGATE INCOME, AGRICULTURAL ACTIVITIES, AGRICULTURAL EMPLOYMENT, AGRICULTURAL GROWTH, AGRICULTURAL PRODUCTION, AGRICULTURAL PRODUCTIVITY, AGRICULTURAL SECTOR, AGRICULTURAL WAGES, ANNUAL CHANGE, BASIC INFRASTRUCTURE, BIG CITIES, BIG CITY, CAPITAL MARKETS, CASH CROPS, CHANGES IN POVERTY, COMPARATIVE ADVANTAGE, CONFLICT, CONSUMPTION AGGREGATE, CONSUMPTION DATA, CONSUMPTION GROWTH, CONSUMPTION PER CAPITA, COUNTRY SPECIFIC, CROSS-COUNTRY ANALYSIS, CROSS-COUNTRY LEVEL, DECOMPOSABLE POVERTY, DEFINITIONS OF POVERTY, DEMAND FOR FOOD, DEMOCRACY, DEPENDENCY RATIO, DEVELOPING COUNTRIES, DEVELOPING WORLD, DEVELOPMENT ECONOMICS, DEVELOPMENT INDICATORS, DEVELOPMENT POLICY, DEVELOPMENT REPORT, DISTRIBUTIONAL EFFECTS, DIVERSIFICATION, ECONOMIC DEVELOPMENT, ECONOMIC GROWTH, ECONOMIC IMPACT, ECONOMIC OPPORTUNITIES, ECONOMIC POLICY, ECONOMICS, ECONOMICS LITERATURE, EMPIRICAL REGULARITIES, EMPLOYMENT GENERATION, ERROR TERM, ERROR TERMS, ESTIMATION TECHNIQUES, EXTENDED FAMILY, FAMILY MEMBERS, FARM ACTIVITIES, FARM EMPLOYMENT, FARM HOUSEHOLDS, FARMER, FARMERS, FEWER PEOPLE, FIGHT AGAINST POVERTY, FIXED EFFECTS, FOOD CONSUMPTION, FOOD CROPS, FOOD EXPENDITURE, FOOD PROCESSING, FORCED MIGRATION, GINI COEFFICIENT, GLOBAL POVERTY, GROWTH PATTERN, GROWTH PROCESS, GROWTH RATE, GROWTH RATE OF POPULATION, GROWTH RATES, HEADCOUNT RATIO, HEALTH CONSEQUENCES, HEALTH EXPENDITURES, HIV, HOSPITAL, HOUSEHOLD BUDGET, HOUSEHOLD DYNAMICS, HOUSEHOLD LEVEL, HOUSEHOLD SIZE, HOUSEHOLD SURVEY, HOUSING, HUMAN CAPITAL, INCOME, INCOME DISTRIBUTION, INCOME GROWTH, INCOME INEQUALITY, INCOME LEVELS, INEQUALITY, INTERNAL MIGRATION, INTERREGIONAL TRANSPORT, JOB CREATION, LACK OF CREDIT, LAND INEQUALITY, LARGE CITIES, MIGRANT, MIGRATION FLOWS, NATIONAL GOVERNMENTS, NEGATIVE EXTERNALITIES, NUMBER OF HOUSEHOLDS, NUMBER OF PEOPLE, PEACE, PER CAPITA GROWTH, POLICY DISCUSSIONS, POLICY RESEARCH, POLICY RESEARCH WORKING PAPER, POLITICAL ECONOMY, POOR, POOR PEOPLE, POOR RURAL HOUSEHOLDS, POORER HOUSEHOLDS, POPULATION AND DEVELOPMENT, POPULATION DATA, POPULATION GROWTH, POPULATION PROJECTIONS, POPULATION SHARE, POVERTY ALLEVIATION, POVERTY CHANGES, POVERTY DATA, POVERTY DECLINE, POVERTY DYNAMICS, POVERTY GAP, POVERTY HEAD, POVERTY LINE, POVERTY LINE CHANGE, POVERTY MEASURE, POVERTY MEASURES, POVERTY RATE, POVERTY REDUCING, POVERTY REDUCTION, PRO-POOR, PROGRESS, PURCHASING POWER, REDUCING POVERTY, REFUGEES, REGIONAL GROWTH, REGIONAL SCIENCE, REMITTANCES, RISK SHARING, RURAL, RURAL AREAS, RURAL DISPARITIES, RURAL DWELLERS, RURAL ECONOMY, RURAL HOUSEHOLDS, RURAL MIGRANTS, RURAL POOR, RURAL POVERTY, RURAL POVERTY REDUCTION, RURAL TOWNS, RURAL UNEMPLOYMENT, RURAL VILLAGES, RURAL WORKERS, SECTORAL COMPOSITION, SELF-EMPLOYMENT, SERVICE PROVIDERS, SKILLED WORKERS, SMALL COUNTRIES, SOCIAL AFFAIRS, SOCIAL SAFETY NETS, SOCIAL SERVICES, SPATIAL ALLOCATION, SPATIAL DEVELOPMENT, SPATIAL DISTRIBUTION, SPILLOVER, STRUCTURAL TRANSFORMATION, TOTAL POVERTY, UNEMPLOYMENT, UNEMPLOYMENT RATES, URBAN AGGLOMERATIONS, URBAN AREAS, URBAN CENTERS, URBAN DEVELOPMENT, URBAN MIGRATION, URBAN POPULATION, URBAN POVERTY, URBAN SOCIAL NETWORKS, URBAN-RURAL DISPARITIES, URBANIZATION, WARS, WORKFORCE