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Explaining the Evolution of Poverty: The Case of Mozambique
Author(s) -
Arndt Channing,
Hussain M. Azhar,
Jones E. Samuel,
Nhate Virgulino,
Tarp Finn,
Thurlow James
Publication year - 2012
Publication title -
american journal of agricultural economics
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 1.949
H-Index - 111
eISSN - 1467-8276
pISSN - 0002-9092
DOI - 10.1093/ajae/aas022
Subject(s) - poverty , computable general equilibrium , coherence (philosophical gambling strategy) , inequality , economics , development economics , econometrics , macroeconomics , economic growth , mathematics , statistics , mathematical analysis
We provide a comprehensive approach for analyzing the evolution of poverty using Mozambique as a case study. Bringing together data from disparate sources, we develop a novel “back‐casting” framework that links a dynamic computable general equilibrium model to a micro‐simulation poverty module. This framework provides a new approach to explaining and decomposing the evolution of poverty, as well as to examining rigorously the coherence between poverty, economic growth, and inequality outcomes. Finally, various simple but useful and rarely‐applied approaches to considering regional changes in poverty rates are presented.