The world's demand for food is expected to double within the next 50 years, while the natural resources that sustain agriculture will become increasingly scarce, degraded, and vulnerable to the effects of climate change. In many poor countries, agriculture accounts for at least 40 percent of GDP and 80 percent of employment. At the same time, about 70 percent of the world's poor live in rural areas and most depend on agriculture for their livelihoods. 'World Development Report 2008' seeks to assess where, when, and how agriculture can be an effective instrument for economic development, especially development that favors the poor. It examines several broad questions: How has agriculture changed in developing countries in the past 20 years? What are the important new challenges and opportunities for agriculture? Which new sources of agricultural growth can be captured cost effectively in particular in poor countries with large agricultural sectors as in Africa? How can agricultural growth be made more effective for poverty reduction? How can governments facilitate the transition of large populations out of agriculture, without simply transferring the burden of rural poverty to urban areas? How can the natural resource endowment for agriculture be protected? How can agriculture's negative environmental effects be contained? This year's report marks the 30th year the World Bank has been publishing the 'World Development Report'.

Reviews causes of poverty in rural areas and presents a policy framework for reducing rural poverty, including through land reform, public works programs, access to credit, physical and social infrastructure, subsidies, and transfer of technology. Identifies key elements for drafting a policy to reduce rural poverty.

This paper contributes to explain the cross-country heterogeneity of the poverty response to changes in economic growth. It does so by focusing on the structure of output growth. The paper presents a two-sector theoretical model that clarifies the mechanism through which the sectoral composition of growth and associated labor intensity can affect workers' wages and, thus, poverty alleviation. Then in presents cross-country empirical evidence that analyzes first, the differential poverty-reducing impact of sectoral growth at various levels of disaggregation, and the role of unskilled labor intensity in such differential impact. The paper finds evidence that not only the size of economic growth but also its composition matters for poverty alleviation, with the largest contributuons from labor-intensive sectors (such as agriculture, construction, and manufacturing). The results are robust to the influence of outliers, alternative explanations, and various poverty measures.

In most developing countries, poverty is more widespread and severe in rural than in urban areas. The author reviews some important aspects of rural poverty and draws key implications for public policy. He presents a policy framework for reducing poverty, taking into account the functional differences and overlap between the rural poor. Several policy options are delineated and explained, including stable management of the macroeconomic environment, transfer of assets, investment in and access to the physical and social infrastructure, access to credit and jobs, and provision of safety nets. Finally, some guideposts are identified for assessing strategies to reduce rural poverty.

This book reviews the fulfillment of two Millennium Development Goals (MDGs), namely poverty and inequality, in the Indian subcontinent. It examines the complex interplay among development, inequality and poverty in relation to corruption, environmental resource management, agricultural adjustment to climate change and institutional arrangements, with a special focus on the Northeastern region of the country. The topics covered offer a blend of theoretical arguments and empirical data with regard to the three main themes of the book, while also providing agricultural and environmental perspectives. The book also provides guidelines for policy initiatives for harnessing the region’s potential in the areas of industry, trade, sustainable use of mineral, forest and other natural resources, nature-based tourism through proper infrastructure development, and resolving land issues to achieve inclusive development.In addition to introducing some new questions on the development-ethnic conflict interface, it uses sophisticated tools such as the Blinder–Oaxaca decomposition method in consumption expenditure to show the endowment, and return to endowment effects; and techniques like spatial correlation-regression to analyze regional variation, co-integration, vector autoregression, the panel data technique and the adaptation index to climate change, to understand socio-economic complexities and the effect of the concerned variables on entrepreneurship and human development.The book offers a timely contribution to our understanding of major MDGs and highlights their successes and failures. It also includes analytical frameworks that are key to future policy initiatives. Further, it disseminates approaches and methods that improve livelihoods and standards of living through poverty reduction and promoting inclusive development along with sustainable utilization of available natural resources. Putting forward various ideas for creating a more sustainable future, it inspires and encourages readers to pursue further studies to address the gaps that still remain.

The book examines India s experience with poverty reduction in a period of rapid economic growth. Marshalling evidence from multiple sources of survey data and drawing on new methods, the book asks how India s structural transformation - from rural to urban, and from agriculture to nonfarm sectors - is impacting poverty. Our analysis suggests that since the early 1990s, urban growth has emerged as a much more important driver of poverty reduction than in the past. We focus in particular on the role of small and medium size conurbations in India, both as the urban sub-sector in which urban poverty is overwhelmingly concentrated, and as a sub-sector that could potentially stimulate rural-based poverty reduction. Second, in rural areas, we focus on the nature of intersectoral transformation out of agriculture into the nonfarm economy. Stagnation in agriculture has been accompanied by dynamism in the nonfarm sector, but there is much debate about whether the growth seen has been a symptom of agrarian distress or a source of poverty reduction. Finally, alongside the accelerating economic growth and the highly visible transformation that is occurring in India s major cities, inequality is on the rise. This is raising concern that economic growth in India has by-passed significant segments of the population. The third theme on social exclusion asks if, despite the dramatic growth, historically grounded inequalities along lines of caste, tribe and gender have persisted. This book would be of interest for policymakers, researchers, non-governmental organizations, and international agencies from India and abroad--who wish to know more about India s experience of the last two decades in reducing poverty.

America's rural areas have always held a disproportionate share of the nation's poorest populations. Rural Poverty in the United States examines why. What is it about the geography, demography, and history of rural communities that keeps them poor? In a comprehensive analysis that extends from the Civil War to the present, Rural Poverty in the United States looks at access to human and social capital; food security; healthcare and the environment; homelessness; gender roles and relations; racial inequalities; and immigration trends to isolate the underlying causes of persistent rural poverty. Contributors to this volume incorporate approaches from multiple disciplines, including sociology, economics, demography, race and gender studies, public health, education, criminal justice, social welfare, and other social science fields. They take a hard look at current and past programs to alleviate rural poverty and use their failures to suggest alternatives that could improve the well-being of rural Americans for years to come. These essays work hard to define rural poverty's specific metrics and markers, a critical step for building better policy and practice. Considering gender, race, and immigration, the book appreciates the overlooked structural and institutional dimensions of ongoing rural poverty and its larger social consequences.

Poverty alleviation is a major objective of development. More than a fifth of the world's population lives in absolute poverty, and the majority of the poor live in rural areas. This volume studies what can be done for alleviating rural poverty. Four chapters address the measurement of poverty and inequality, including the use of household expenditure surveys and intra-household income distribution. Evidence is presented for India, Mauritania, Cte d'Ivoire and China. Other chapters present case studies on strategies for rural development: provision of rural credit in Bangladesh and India; technical change in Philippine agriculture; contract farming in Thailand; and banana growers in the Windwards. The contributions introduce the problems of rural development and show that effective rural development is assisted by investment in education and secure access to credit; that equity is important for incentives but not directly related to poverty; and that technical and institutional reform are essential, but require careful design and implementation.

In its history since Independence, India has seen widely different economic experiments: from Jawharlal Nehru's pragmatism to the rigid state socialism of Indira Gandhi to the brisk liberalization of the 1990s. So which strategy best addresses India's, and by extension the world's, greatest moral challenge: lifting a great number of extremely poor people out of poverty? Bhagwati and Panagariya argue forcefully that only one strategy will help the poor to any significant effect: economic growth, led by markets overseen and encouraged by liberal state policies. Their radical message has huge consequences for economists, development NGOs and anti-poverty campaigners worldwide. There are vital lessons here not only for Southeast Asia, but for Africa, Eastern Europe, and anyone who cares that the effort to eradicate poverty is more than just good intentions. If you want it to work, you need growth. With all that implies.