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Development and Poverty Reduction: A Global Comparative Perspective PDF

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Development and Poverty Reduction Although the absolute number of poor people in the world has declined signifi- cantly in recent decades, poverty reduction continues to be a very important issue. There still are very large numbers of poor people, relative poverty is an increasingly concerning problem, and progress on poverty reduction varies enor- mously from one part of the world to another. Factors contributing to poverty reduction include economic growth, economic integration, and specific poverty- reduction programs, which are often initiated by Western countries. This book considers poverty reduction from a global perspective. Development and Poverty Reduction looks at a wide range of specific subjects, across all continents. It highlights in particular how the issues are perceived from a non- Western per- spective and especially how the rise of China is both having a profound impact on poverty reduction globally and also changing the overall way in which devel- opment and poverty reduction are approached. Yongnian Zheng is Professor and Director of the East Asian Institute, National University of Singapore. Jiwei Qian is a Senior Research Fellow at the East Asian Institute, National University of Singapore. China Policy Series Series Editor: Zheng Yongnian East Asian Institute, National University of Singapore 53 Post- Western Sociology From China to Europe Edited by Laurence Roulleau-B erger and Li Peilin 54 China’s Pension Reforms Political Institutions, Skill Formation and Pension Policy in China Ke Meng 55 China’s New Silk Road An Emerging World Order Edited by Carmen Amado Mendes 56 The Politics of Expertise in China Xufeng Zhu 57 Gender Dynamics, Feminist Activism and Social Transformation in China Edited by Guogang Wu, Yuan Feng, and Helen Lansdowne 58 The Struggle for Democracy in China, Taiwan and Hong Kong Sharp Power and its Discontents Andreas Fulda 59 The Chinese Communist Party in Action Consolidating Party Rule Edited by Zheng Yongnian and Lance L.P. Gore 60 Development and Poverty Reduction A Global Comparative Perspective Edited by Yongnian Zheng and Jiwei Qian For more information about this series, please visit www.routledge.com/China- Policy-Series/book-s eries/SECPS Development and Poverty Reduction A Global Comparative Perspective Edited by Yongnian Zheng and Jiwei Qian First published 2020 by Routledge 2 Park Square, Milton Park, Abingdon, Oxon OX14 4RN and by Routledge 52 Vanderbilt Avenue, New York, NY 10017 Routledge is an imprint of the Taylor & Francis Group, an informa business © 2020 selection and editorial matter, Yongnian Zheng and Jiwei Qian; Chapter 4, UNU- WIDER; other individual chapters, the contributors The right of Yongnian Zheng and Jiwei Qian to be identified as the authors of the editorial matter, and of the authors for their individual chapters, has been asserted in accordance with sections 77 and 78 of the Copyright, Designs and Patents Act 1988. With the exception of Chapter 4, no part of this book may be reprinted or reproduced or utilized in any form or by any electronic, mechanical, or other means, now known or hereafter invented, including photocopying and recording, or in any information storage or retrieval system, without permission in writing from the publishers. Chapter 4 of this book is available for free in PDF format as Open Access from the individual product page at www.routledge.com. It has been made available under a Creative Commons Attribution-N on Commercial-N o Derivatives 4.0 license. Trademark notice: Product or corporate names may be trademarks or registered trademarks, and are used only for identification and explanation without intent to infringe. British Library Cataloguing-i n-Publication Data A catalogue record for this book is available from the British Library Library of Congress Cataloging-i n-Publication Data A catalog record has been requested for this book ISBN: 978-0-367-26229-7 (hbk) ISBN: 978-0-429-29212-5 (ebk) Typeset in Times New Roman by Wearset Ltd, Boldon, Tyne and Wear Contents List of figures vii List of tables ix Notes on contributors x Acknowledgments xii List of abbreviations xiii PART I Background discussions 1 1 Introduction: poverty reduction in comparative perspective 3 YONgNIAN ZhENg AND JIWEI QIAN 2 The state and development: the two political economy models of China and the West 16 YONgNIAN ZhENg PART II America 33 3 Poverty in the US and its causes 35 DOUglAS J. BEShAROV AND DOUglAS M. CAll PART III Africa 53 4 Development and poverty in Sub-S aharan Africa 55 TONY ADDISON, VIllE PIkkARAINEN, RISTO RöNkkö, AND FINN TARP vi Contents  5  An overview of recent trends in official development  assistance: contradictory new directions in the relationship between DAC donors and China 107 MARk M cQUINN 6 Africa’s quest for poverty alleviation: lessons from and reflections on the role of China  131 hUMPhREY P. B. MOShI 7 Strengthening Sino- African poverty alleviation collaboration through knowledge sharing 145 MIChAEl MITChEll OMORUYI EhIZUElEN PART IV Southeast Asia 175 8 Poverty reduction experiences of Southeast Asian countries 177 PETER WARR 9 Economic development and poverty reduction in Southeast Asia 210 YAP kIOE ShENg PART V East Asia 231 10 The rise of China and its implications for economics and other developing countries 233 JUSTIN YIFU lIN 11 Poverty reduction in East Asia: a continuing development challenge 245 JOhN WONg 12 The impact of economic development on the social structure of the Japanese rural community 257 YOShIhISA gODO 13 The urban informal sector and development in China: institutions and feedback effects 269 JIWEI QIAN Index 288 Figures 3.1 Poverty rate in the United States, by age, 1967–2017 37 4.1 Real gDP per capita growth rate by region 58 4.2 Population projections by region, 1950–2049 59 4.3 Monetary poverty headcount ratio at US$1.90/day (2011 purchasing- power parity), 1981–2015 59 4.4 Income inequality across geographical regions, by decade 61 4.5 gini coefficient in SSA, 1981–2014 63 4.6 life expectancy at birth by major world region, 1960–2014 65 4.7 Under-fi ve mortality (per 1,000 live births) by major world region, 1970–2015 65 4.8 Access to clean drinking water from improved water source, 1990–2015 66 4.9 School enrollment in Sub-S aharan Africa, 1970–2014 67 4.10 human Development Index by region, 1990–2015 69 4.11 Agriculture value added, 1981–2015 70 4.12 Manufacturing value added, 1981–2015 71 4.13 Services value added, 1981–2015 71 4.14 Annual inflation by region, 1980–2014 (%) 74 4.15 Policy rates for SSA countries with floating exchange rates, 1999–2015 75 4.16 CPIA Public sector institutions and management score, 2005–2015 76 4.17 Control of corruption, 1996–2015 76 4.18 Rule of law, 1996–2015 77 4.19 Democracy and autocracy in Sub-S aharan Africa, 1960–2014 77 4.20 Conflicts in Sub-S aharan Africa, 1952–2012 78 4.21 Dependency ratio for major regions, 1950–2050 79 4.22 Commodity exports, imports, and net exports from SSA countries 81 4.23 Net financial flows to Sub- Saharan African countries, 1960–2016 91 4.24 CO emissions per capita, 1960–2012 94 2 viii Figures 5.1 Daily Express, October 24, 2017 117 5.2 The Sun, February 20, 2018 117 5.3 Daily Express, February 20, 2018 117 5.4 Daily Mail, March 17, 2018 118 7.1 The levels of poverty in China’s rural region according to the recent rural poverty standard 147 7.2 Poverty headcount ratio at US$1.90 a day (2011 PPP) (% of population) 153 7.3 Poverty headcount ratio at US$3.10 a day (2011 PPP) (% of population) 153 7.4 The improvement of infrastructure in regions populated by ethnic minority groups with a small population 155 7.5 Potential sectors expected to generate the highest employment for African youth over the next half a decade 163 8.1 Annual rates of poverty reduction (percentage points per year) 185 8.2 Annual rate of poverty reduction and economic growth (percentage points per year) 187 8.3 Southeast Asia: annual rates of poverty reduction (percentage points per year) 187 8.4 Correlation between annual rates of poverty reduction and annual rates of gDP growth per person 188 8.5 Cambodia: poverty incidence, 1994–2015 189 8.6 Indonesia: poverty incidence, 1976–2017 189 8.7 laos: poverty incidence, 1992–2012 190 8.8 Malaysia: poverty incidence, 1970–2014 190 8.9 Myanmar: poverty incidence, 2005–2010 191 8.10 The Philippines: poverty incidence, 1961–2015 191 8.11 Thailand: poverty incidence, 1969–2014 192 8.12 Vietnam: poverty incidence, 1998–2014 192 12.1 Agricultural problems at different stages of economic development 266 13.1 Composition of Minimum Livelihood Guarantee Scheme beneficiaries in urban areas 272 13.2 Increasing size of the informal sector since the 1990s 273 13.3 Increase in the urban workforce in China, 2008–2016 275 13.4 Divergence of social insurance enrollment, 2001–2016 276 13.5 The central-l ocal share of fiscal revenue/expenditure, 1980–2016 277 13.6 local social expenditures and their share in total social expenditure, 2010–2015 277 13.7 Urbanization and hukou in China 278 13.8 Number of rural migrant workers 279 Tables 4.1 Real GDP per capita annual growth rate in SSA 60 4.2 Population and poverty headcount (in millions of people), and poverty headcount ratio for Sub-S aharan Africa 62 4.3 Infrastructure measures for Sub-S aharan African low-i ncome countries and other low-i ncome countries 88 4.4 Average financial inflows and outflows to Sub- Saharan Africa as a share of gDP (%) 91 7.1 Some international collaboration projects for poverty reduction in China 157 8.1 Poverty measurement data sources: Southeast Asian developing countries 183 8.2 Developing regions and countries: annual rates of poverty reduction 186 8.3 Data decomposition: mean annual changes in poverty incidence 194 8.4 Average rates of poverty reduction, economic growth and variable correlations 195 8.5 National poverty incidence and aggregate growth 201 8.6 National poverty incidence and sectoral growth 203 8.7 Rural poverty incidence and sectoral growth 204 8.8 Urban poverty incidence and sectoral growth 205 9.1 Annualized growth of gDP and gDP per capita, 1990–2007 210 9.2 Economic class in Southeast Asia and the Pacific, 1991–2015 (%) 211 9.3 Urbanization of ASEAN countries (%) 213 9.4 Urban population living in slums (2014) 217 9.5 Old- age dependency ratio (2000, 2030) 222 11.1 East Asia performance indicators 253 12.1 Japan’s economic growth and income disparity between farmers and non- farmers 261 13.1 Rates of contributions to social insurance programs in urban China, 2014 280

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