Tuesday, August 26, 2014



IWS Documented News Service


Institute for Workplace Studies-----------------Professor Samuel B. Bacharach

School of Industrial & Labor Relations-------- Director, Institute for Workplace Studies

Cornell University

16 East 34th Street, 4th floor--------------------Stuart Basefsky

New York, NY 10016 -------------------------------Director, IWS News Bureau


This service is supported, in part, by donations. Please consider making a donation by following the instructions at http://www.ilr.cornell.edu/iws/news-bureau/support.html


World Bank



by Inchauste, Gabriela; Azevedo, João Pedro; Essama-Nssah, B.; Olivieri, Sergio;

Van Nguyen, Trang; Saavedra-Chanduvi, Jaime; Winkler, Hernan




[full-text, 191 pages]



Understanding Changes in Poverty brings together different methods to decompose the contributions to

poverty reduction. A simple approach quantifies the contribution of changes in demographics, employment,

earnings, public transfers, and remittances to povertyreduction. A more complex approach quantifies the

contributions to poverty reduction from changes in individual and household characteristics, including changes

in the sectoral, occupational, and educational structure of the workforce, as well as changes in the returns to

individual and household characteristics. Understanding Changes in Poverty implements these approaches and finds

that labor income growth that is, growth in income per worker rather than an increase in the number of employed

workers was the largest contributor to moderate poverty reduction in 21 countries experiencing substantial

reductions in poverty over the past decade. Changes in demographics, public transfers, and remittances helped, but

made relatively smaller contributions to poverty reduction. Further decompositions in three countries find that labor

income grew mainly because of higher returns to human capital endowments, signaling increases in productivity,

higher relative price of labor, or both. Understanding Changes in Poverty will be of particular relevance to

development practitioners interested in better understanding distributional changes over time. The methods and tools

presented in this book can also be applied to better understand changes in inequality or any other distributional change.



This information is provided to subscribers, friends, faculty, students and alumni of the School of Industrial & Labor Relations (ILR). It is a service of the Institute for Workplace Studies (IWS) in New York City. Stuart Basefsky is responsible for the selection of the contents which is intended to keep researchers, companies, workers, and governments aware of the latest information related to ILR disciplines as it becomes available for the purposes of research, understanding and debate. The content does not reflect the opinions or positions of Cornell University, the School of Industrial & Labor Relations, or that of Mr. Basefsky and should not be construed as such. The service is unique in that it provides the original source documentation, via links, behind the news and research of the day. Use of the information provided is unrestricted. However, it is requested that users acknowledge that the information was found via the IWS Documented News Service.










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