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Determinants of poverty in rural Ethiopia


Bogale, Ayalneh; Hagedorn, Konrad; Korf, Benedikt (2005). Determinants of poverty in rural Ethiopia. Quarterly Journal of International Agriculture, 44(2):101-120.

Abstract

This paper investigates the determinants of rural poverty in Ethiopia. Our study is based on information gathered from a three-round survey of 149 rural households in three districts of Ethiopia during the 1999/2000 cropping season. The FGT poverty index (index proposed by Foster, Greer and Thorbecke) is employed to examine the extent and severity of rural poverty. It reveals that nearly 40% of the sample households live below poverty line with an average poverty gap of 0.047. The binary logit estimates shed light on factors behind the persistence of poverty and indicates that rural poverty is strongly linked to entitlement failures understood as lack of household resource endowments to crucial assets such as land, human capital and oxen. Our findings suggest that improved targeting devices can be a useful instrument in reducing poverty, in particular to reach the poorest of the poor.

Abstract

This paper investigates the determinants of rural poverty in Ethiopia. Our study is based on information gathered from a three-round survey of 149 rural households in three districts of Ethiopia during the 1999/2000 cropping season. The FGT poverty index (index proposed by Foster, Greer and Thorbecke) is employed to examine the extent and severity of rural poverty. It reveals that nearly 40% of the sample households live below poverty line with an average poverty gap of 0.047. The binary logit estimates shed light on factors behind the persistence of poverty and indicates that rural poverty is strongly linked to entitlement failures understood as lack of household resource endowments to crucial assets such as land, human capital and oxen. Our findings suggest that improved targeting devices can be a useful instrument in reducing poverty, in particular to reach the poorest of the poor.

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Additional indexing

Item Type:Journal Article, refereed, original work
Communities & Collections:07 Faculty of Science > Institute of Geography
Dewey Decimal Classification:910 Geography & travel
Language:English
Date:2005
Deposited On:16 Aug 2012 08:45
Last Modified:05 Apr 2016 15:55
Publisher:D L G Verlags GmbH
ISSN:0049-8599
Official URL:http://www.wiso-net.de/webcgi?START=A60&DOKV_DB=ZECO&DOKV_NO=QJIAQJIA2005040013142914272218231023&DOKV_HS=0&PP=1
Related URLs:http://www.dlg-verlag.de/shop/product_info.php/info/p419_Quarterly-Journal-of-International-Agriculture-2-2005.html

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