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Status and determinants of poverty and income inequality in pastoral and agro-pastoral communities: Household-based evidence from Afar Regional State, Ethiopia

Author

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  • Teka, Araya M.
  • Temesgen Woldu, Gabriel
  • Fre, Zeremariam

Abstract

This paper analyzes poverty and its determinants and income inequality in pastoral and agro-pastoral communities in Ethiopia. 2295 households from zone 1 and zone 2 of the Afar region were surveyed and examined using the FGT index, the Gini coefficient, and logistic regression. 47.6 percent of the households are poor, with poverty gap index of 0.178 and poverty severity index of 0.092. Food poverty accounts for 33.7 percent with an income gap of Birr 33 per month. Food poverty is highest in pastoral (35.6%) than the agro-pastoral communities (29.8%). 35.6 percent of PSNP non-participants and 32 percent of the participant households are poor. Gender of the household head, family size, access to credit, mobility, participating in safety net programs and local institutions, distance to market and remittances are determining poverty in the area. There is an alarmingly high degree of income inequality (0.592) in the study area. The lowest Gini index (0.433) is found in Koneba district, and the highest index (0.616) is observed in widowed heads of households. Strengthening the poverty reduction programs and introducing diversified income schemes; modernizing local institutions, increase provision of microfinance services, introducing packages specific to women and youth are recommended to address the high poverty and inequality in Afar.

Suggested Citation

  • Teka, Araya M. & Temesgen Woldu, Gabriel & Fre, Zeremariam, 2019. "Status and determinants of poverty and income inequality in pastoral and agro-pastoral communities: Household-based evidence from Afar Regional State, Ethiopia," World Development Perspectives, Elsevier, vol. 15(C), pages 1-1.
    • Handle: RePEc:eee:wodepe:v:15:y:2019:i:c:6
    DOI: 10.1016/j.wdp.2019.100123
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    References listed on IDEAS

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    1. Foster, James & Greer, Joel & Thorbecke, Erik, 1984. "A Class of Decomposable Poverty Measures," Econometrica, Econometric Society, vol. 52(3), pages 761-766, May.
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    Cited by:

    1. Barlas, Ahmad Walid & Sadiq, Mohammad Ehsan & Haidari, Ajmal, 2022. "Determinants of Poverty among Urban Households in Afghanistan: Case study of Mazar-e-Sharif," MPRA Paper 114182, University Library of Munich, Germany.
    2. Derib Woldeyohannes Benti & Worku Tuffa Birru & Workneh Kassa Tessema & Messay Mulugeta, 2022. "Linking Cultural and Marketing Practices of (Agro)pastoralists to Food (In)security," Sustainability, MDPI, vol. 14(14), pages 1-22, July.
    3. Md Jamil, Abd Rahim & Law, Siong Hook & Khair-Afham, M.S. & Trinugroho, Irwan, 2024. "Financial inclusion and income inequality in developing countries: The role of aging populations," Research in International Business and Finance, Elsevier, vol. 67(PA).
    4. Dika, Galgalo & Tolossa, Degefa & Eyana, Shiferaw Muleta, 2021. "Multidimensional poverty of pastoralists and implications for policy in Boorana rangeland system, Southern Ethiopia," World Development Perspectives, Elsevier, vol. 21(C).
    5. Jorge Garza-Rodriguez & Gustavo A. Ayala-Diaz & Gerardo G. Coronado-Saucedo & Eugenio G. Garza-Garza & Oscar Ovando-Martinez, 2021. "Determinants of Poverty in Mexico: A Quantile Regression Analysis," Economies, MDPI, vol. 9(2), pages 1-24, April.
    6. Romanus Osabohien & Oluwatoyin Matthew & Precious Ohalete & Evans Osabuohien, 2020. "Population–Poverty–Inequality Nexus and Social Protection in Africa," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 151(2), pages 575-598, September.
    7. Yiran Zhang & Wuriliga & Yong Ding & Fang Li & Yujuan Zhang & Min Su & Shuhui Li & Li Liu, 2022. "Effectiveness of Grassland Protection and Pastoral Area Development under the Grassland Ecological Conservation Subsidy and Reward Policy," Agriculture, MDPI, vol. 12(8), pages 1-15, August.

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    More about this item

    Keywords

    Afar; Determinants; FGT index; Income inequality; Pastoral; Poverty;
    All these keywords.

    JEL classification:

    • J15 - Labor and Demographic Economics - - Demographic Economics - - - Economics of Minorities, Races, Indigenous Peoples, and Immigrants; Non-labor Discrimination
    • P25 - Political Economy and Comparative Economic Systems - - Socialist and Transition Economies - - - Urban, Rural, and Regional Economics
    • R11 - Urban, Rural, Regional, Real Estate, and Transportation Economics - - General Regional Economics - - - Regional Economic Activity: Growth, Development, Environmental Issues, and Changes

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