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African Development Report 2015 - Chapter 3: High inequality undermined the efficacy of growth in reducing poverty


Historically, at least until recently, the impact of GDP growth on poverty reduction has been significantly weaker in Africa than in other developing regions. The contrast with much of Asia is striking, as discussed in the previous chapter. Substantively, two factors drive this difference 27. First, growth generated by labour intensive sectors such as agriculture or manufacturing is more poverty reducing than growth from mineral sectors. Within Africa, poverty reduction due to growth was thus slower in resource-rich countries, as demonstrated in chapter 2.

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