This paper estimates the effect of
income inequality on real gross domestic product per capita
using a panel of 104 countries during the period 1970–2010.
The empirical analysis addresses endogeneity issues by using
instrumental variables estimation and controlling for
country and time fixed effects. The analysis finds that, on
average, income inequality has a significant negative effect
on transitional gross domestic product per capita growth and

Georgia has an impressive growth record
but social vulnerabilities persist. It remains a challenge
to tackle social vulnerabilities within a sustained
macroeconomic framework. This programmatic public
expenditure review (PER) assesses the alignment of selected
fiscal programs with the government’s social objectives.
Building on the analysis and recommendations of the 2014
PER, this PER analyzes the impact of recent reforms

This note describes the trends in, and
composition of, absolute poverty based on household
expenditures, and is thus concerned, as a matter of policy
objectives, with access of the population to a particular
minimum standard of living. This should be viewed as
complementary to the companion note on social exclusion
based on Europe 2020 indicators including the relative
at-risk-of-poverty (AROP) rate, focuses on low income in

Self-help groups (SHGs) are the most
common form of microfinance in India. The authors provide
evidence that SHGs, composed of women only, undertake
collective actions for the provision of public goods within
village communities. Using a theoretical model, this paper
shows that an elected official, whose aim is to maximize
re-election chances, exerts higher effort in providing
public goods when private citizens undertake collective

The last poverty assessment for Rwanda
was conducted in 1997. Three years after the genocide, the
country was characterized by deep and widespread poverty,
rock-bottom health indicators, and pervasive hunger and food
insecurity. In real terms, gross domestic product (GDP) per
capita was lower than it had been in 1960. In real terms,
the economy quadrupled between 1995 and 2013. Enrolment in
primary school is near universal and infant and child

This document presents the Systematic
Country Diagnosis (SCD) for Mali. The SCD was prepared
following a consultative process within and outside the
World Bank. It identifies constraints and opportunities for
achieving the twin goals of ending poverty and improving
shared prosperity by 2030 while acknowledging (i) the need
for selectivity in pro-poor interventions, and (ii) the many
competing ‘binding’ reasons for poverty in Mali. The

This note is a summary of a report that
considers urban areas as the complement to rural areas that
will allow the Plurinational State of Bolivia to achieve the
goals set forth in its Patriotic Agenda for the Bicentennial
2025. The report uses data available at the national level
from censuses and household surveys from the National
Statistics Institute (INE) and the Social and Economic
Policy Analysis Unit of the Ministry of Development Planning

Renato and Hecinta are raising six young
children in a rural area of Mozambique’s northern Nampula
Province. On just half a hectare, they grow rice, maize,
beans, cashew, peanuts, cabbage, and tomatoes, selling what
they can and eating the rest. But, like many of the 475
million smallholder household’s worldwide, agricultural
production is just one of their many income-generating
activities. They balance several sources of income, within

Remarks delivered by Jim Yong Kim, President of the World Bank Group, discuss Ethiopia’s commitment to climate action, the role of industrialization in delivering development, and bringing these together for low-carbon, equitable growth. He speaks about the government’s promotion of low-carbon growth, poverty reduction, and climate resilience to tackle the impact of climate changes.

The political and security transition
continues to take a heavy toll on Afghanistan’s economy.
Economic growth is estimated to have fallen further to 2
percent in 2014 from 3.7 percent in 2013 and an average of 9
percent during 2003-12. Political uncertainty combined with
weak reform progress dealt a further blow in 2014 to
investor and consumer confidence, already in a slump from
uncertainty building since 2013. As a result, growth in the

After several years of strong economic
performance, Zambia now confronts several important
challenges that must be managed carefully to ensure
sustained and inclusive growth in the future. On the one
hand, the economy grew by an estimated 5.5–6.0 percent in
2014, somewhat above the average for African economies.
Monthly copper production increased by an average of 8
percent during the second half of 2014, reversing the sharp

Africa has great potential for
agriculture. Although international commodity prices have
been buoyant, Africa’s supply response seems to be weak. A
variety of constraints may exist. Using the case of
Tanzania, the paper examines the impact of market
connectivity, domestic and international, on farmers’ crop
choices. It is shown that the international market
connectivity, measured by transport costs to the maritime