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Economic Growth and Poverty Reduction in Sub-Saharan Africa

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  • Mr. Gary G. Moser
  • Mr. Toshihiro Ichida

Abstract

This study confirms a strong and robust relationship between economic growth and poverty reduction in sub-Saharan Africa. Employing a panel of 46 countries covering the period 1972-97, the analysis finds that a 10 percent increase in per capita GDP leads to a 1 percent increase in life expectancy, a 3-4 percent decline in infant mortality rates, and a 3½-4 percent increase in the rate of gross primary school enrollment. The results are robust for high- and low-income, as well as fast- and slow-growth, countries. The study also finds that quality of growth, civil conflict, HIV/AIDs, civil and institutional freedom, and island economies are important control variables that help explain the variability of poverty across Africa. A country's latitude is not found to be a significant factor explaining life expectancy or infant mortality rates, though it is a significant factor explaining gross primary school enrollments.

Suggested Citation

  • Mr. Gary G. Moser & Mr. Toshihiro Ichida, 2001. "Economic Growth and Poverty Reduction in Sub-Saharan Africa," IMF Working Papers 2001/112, International Monetary Fund.
    • Handle: RePEc:imf:imfwpa:2001/112
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    3. Mr. Paulo Silva Lopes, 2002. "A Comparative Analysis of Government Social Spending Indicators and Their Correlation with Social Outcomes in Sub-Saharan Africa," IMF Working Papers 2002/176, International Monetary Fund.
    4. Bigsten, Arne & Kebede, Bereket & Shimeles, Abebe & Taddesse, Mekonnen, 2003. "Growth and Poverty Reduction in Ethiopia: Evidence from Household Panel Surveys," World Development, Elsevier, vol. 31(1), pages 87-106, January.
    5. Kathleen M. Sheehan & Andrew T. Young, 2015. "It'S A Small World After All: Internet Access And Institutional Quality," Contemporary Economic Policy, Western Economic Association International, vol. 33(4), pages 649-667, October.
    6. Sue Bowden & Domna Maria Michailidou & Alvaro Pereira, 2008. "Chasing mosquitoes: An exploration of the relationship between economic growth, poverty and the elimination of malaria in Southern Europe in the 20th century," Journal of International Development, John Wiley & Sons, Ltd., vol. 20(8), pages 1080-1106.
    7. Lisandro Abrego & Doris C. Ross, 2002. "Debt Relief under the HIPC Initiative: Context and Outlook for Debt Sustainability and Resource Flows," WIDER Working Paper Series DP2002-44, World Institute for Development Economic Research (UNU-WIDER).
    8. Delfin Go & Denis Nikitin & Xiongjian Wang & Heng-fu Zou, 2007. "Poverty and Inequality in Sub-Saharan Africa: Literature Survey and Empirical Assessment," Annals of Economics and Finance, Society for AEF, vol. 8(2), pages 251-304, November.
    9. Ebeh, Joy Eleojo & Awe, Abel, Ariyo, 2021. "Does Poverty Matters in Maternal Health and Output Growth Nexus in sub-Saharan African Countries? A Panel ARDL Approach," Noble International Journal of Economics and Financial Research, Noble Academic Publsiher, vol. 6(6), pages 119-130, December.
    10. Nunnenkamp, Peter, 2002. "Why economic growth trends differ so much across developing countries: the globalization debate and its relevance to Pakistan," Kiel Working Papers 1091, Kiel Institute for the World Economy (IfW Kiel).
    11. Samuel Fambon, 2005. "Croissance économique, pauvreté et inégalité des revenus au Cameroun," Revue d’économie du développement, De Boeck Université, vol. 13(1), pages 91-122.
    12. Lahimer, Noomen, 2009. "La contribution des investissements directs étrangers à la réduction de la pauvreté en Afrique subsaharienne," Economics Thesis from University Paris Dauphine, Paris Dauphine University, number 123456789/1167 edited by Goaied, Mohamed & Bienaymé, Alain.
    13. Sodiq Arogundade & Mduduzi Biyase & Hinaunye Eita, 2021. "Foreign Direct Investment and poverty in Sub-Saharan African countries: the role of host absorptive capacity," Economic Development and Well-being Research Group Working Paper Series edwrg-04-2021, University of Johannesburg, College of Business and Economics, revised 2021.
    14. Mohamed Ali Labidi & Anis Ochi & Yosra Saidi, 2024. "Extreme Poverty, Economic Growth, and Income Inequality Trilogy in Sub-Saharan Africa and South Asia: A GMM Panel VAR Approach," Journal of the Knowledge Economy, Springer;Portland International Center for Management of Engineering and Technology (PICMET), vol. 15(3), pages 10592-10612, September.

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