The relationship between growth and poverty lies at the heart of development economics. While many see aggregate growth as both necessary and sufficient for reducing poverty, and consequently focus their efforts on achieving the desired macroeconomic outcomes, others stress that the benefits from growth may not be evenly spread. Critics of globalization often point out that growth of the macroeconomy may have an adverse effect on the most vulnerable members of society. Thus the distributional impact of growth needs to be taken into account when considering the consequences for poverty. The essays in this book deal with institutional and policy questions concerning growth and poverty, as well as sectoral issues, and individual country experiences. The contributors conclude that initial conditions, institutions, specific country structures, and time horizons all play significant roles. The country- and context-specific nature of these factors point to the need for creative national solutions to the problem of poverty. This in turn requires an informed policy debate within countries: one which may lead to a consensus between different interest groups—or at least help to clarify the basis of opposing views.
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Rolph van der Hoeven is manager of the Technical Secretariat of the World Commission on Globalization. Anthony Shorrocks is director of the UNU World Institute for Development Economics Research (UNU/WIDER).
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