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The Constraints to Escaping Rural Poverty: An Analysis of the Complementarities of Assets in Developing Countries

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  • William Foster
  • Alberto Valdés
  • Benjamin Davis
  • Gustavo Anríquez

Abstract

Based on Food and Agriculture Organization data for 15 developing countries, we examine household characteristics, asset bundles and income-generating activities of the rural poor. Assets aid in exiting poverty, not independent of one another, but rather in combination. We develop an approach to estimate the complementarities between education, farm size and infrastructure. Limited access to the three assets of interest here (susceptible to medium- and long-term interventions) might prevent moving a large number of small farmers out of poverty in the short-term (even with support programs). Increased land holding often has lower poverty-reducing potential, and when its potential is high, it is in countries where most land is divided among small operations (for example, Bangladesh). Education is confirmed as highly poverty-alleviating, and has a high complementarity with infrastructure.

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  • William Foster & Alberto Valdés & Benjamin Davis & Gustavo Anríquez, 2011. "The Constraints to Escaping Rural Poverty: An Analysis of the Complementarities of Assets in Developing Countries," Applied Economic Perspectives and Policy, Agricultural and Applied Economics Association, vol. 33(4), pages 528-565.
    • Handle: RePEc:oup:apecpp:v:33:y:2011:i:4:p:528-565.
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    File URL: http://hdl.handle.net/10.1093/aepp/ppr031
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    Cited by:

    1. Norman Bentley Piccioni, 2015. "Agriculture in Nicaragua," World Bank Publications - Reports 25978, The World Bank Group.
    2. Yao Zhang & Jianjun Huai, 2023. "A Case Study of Farmers’ Behavioral Motivation Mechanisms to Crack the Fractal Multidimensional Relative Poverty Trap in Shaanxi, China," Agriculture, MDPI, vol. 13(11), pages 1-22, October.
    3. Gustavo Anríquez & William Foster & Jorge Ortega & César Falconi & Carmine Paolo De Salvo, 2016. "Public Expenditures and the Performance of Latin American and Caribbean Agriculture," IDB Publications (Working Papers) 95696, Inter-American Development Bank.
    4. Anríquez, Gustavo & Foster, William & Ortega, Jorge & Falconi, César & De Salvo, Carmine Paolo, 2016. "Public Expenditures and the Performance of Latin American and Caribbean Agriculture," IDB Publications (Working Papers) 7839, Inter-American Development Bank.
    5. Gustavo Anríquez & William Foster & Jorge Ortega, 2020. "Rural and agricultural subsidies in Latin America: Development costs of misallocated public resources," Development Policy Review, Overseas Development Institute, vol. 38(1), pages 140-158, January.
    6. Srinivas Goli & Anu Rammohan & Sri Priya Reddy, 2021. "The interaction of household agricultural landholding and Caste on food security in rural Uttar Pradesh, India," Food Security: The Science, Sociology and Economics of Food Production and Access to Food, Springer;The International Society for Plant Pathology, vol. 13(1), pages 219-237, February.
    7. Solomon Zena Walelign & Mariève Pouliot & Helle Overgaard Larsen & Carsten Smith-Hall, 2015. "A novel approach to dynamic livelihood clustering: Empirical evidence from Nepal," IFRO Working Paper 2015/09, University of Copenhagen, Department of Food and Resource Economics.
    8. Rammohan, Anu & Pritchard, Bill, 2014. "The Role of Landholding as a Determinant of Food and Nutrition Insecurity in Rural Myanmar," World Development, Elsevier, vol. 64(C), pages 597-608.

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