Poverty in bangladesh pdf

The analysis traced back the faster rate of pro-poor growth in the s to several policy areas see Sen et. New roles of EPIAs are also emerging as many of the present gains are not likely to be sustained using past policies under changed domestic and external circumstances in the future.

In particular, poverty transition in Bangladesh in future would require policies that would bring deep-cutting structural change in the macro-economy with ability to support wide-ranging capability-enhancing measures that will help the poor to emerge as active agents of pro-poor growth. For empirical results, see Mujeri b. Hence it is not surprising to see that globalization, and trade liberalization in particular, became one of the most analyzed issues of ex ante assessments in Bangladesh, especially under MIMAP-Bangladesh.

Using counterfactual simulation experiments with a computable general equilibrium CGE model of the Bangladesh economy, MIMAP assessments extensively analyzed the impact of various liberalization measures on poverty in support of policy making. Before going into the policy aspects, it is useful to briefly describe the model to understand the context of the simulation results and derived policy conclusions. In addition, other analytical procedures were used to explore specific issues.

For example, a double-calibration general equilibrium methodology using the Ricardo-Viner specific-factor specification rather than the more usual Heckscher-Ohlin type fully mobile factor-model specification 39 For some recent views on the controversy, see Dollar and Kraay , McCulloch et. Source: Khondker and Mujeri The simulations using the general equilibrium framework examined the impact of various policy options facing the decision makers in Bangladesh such as trade liberalization and inflows of foreign capital on resource allocation, income distribution and poverty status of different household groups.

For details of the analysis in Bangladesh, see Khondker and Mujeri , The model generates changes in mean incomes of the representative household groups. The consequent estimates of changes in FGT poverty measures were estimated following a method suggested by Decaluwe et. This involves an explicit assumption about the distribution of income for each seven household groups Beta distribution and postulate of a poverty line fixed in real terms for each household group though varying with endogenously-determined commodity prices.

Similarly, depending upon specific channels through which liberalization affects the economy e. In general, the overall results suggest that welfare impacts accrue more to better-off household groups compared with their less well-off counterparts.

In particular, poverty status of less well-off household groups are seen to be more affected due to their high initial depth and severity of poverty since a small loss gain in real consumption can shift a significant portion of the population in these groups into out of poverty.

The policy conclusions drawn from the simulations emphasize that globalization experience in Bangladesh is mixed and, although the gains and losses are relatively small, these differ across various household groups. The interface of trade liberalization and poverty depends on the nature of functioning and characteristics of the channels through which liberalization effects are transmitted to the economy and to different household groups.

The relative importance and strength of resulting impact-flows from different channels vary over policies and household groups creating differing net impacts on various groups Mujeri In general, the dominant trend has been to accrue the benefit more to relatively well-off households with little gain for the extreme-poor households.

The abilities to adjust, especially of the heterogeneous poor groups, are also different determined by their differential access and participation in socio-economic transactions. The process has significant poverty implications since unskilled workers in the rural areas form the largest poor group in the country. The decomposition analysis pointed out that skill-biased technical change is the most significant determinant of increase in wage inequality and the pro-poor development agenda needs to focus on providing education and upgrading the skill level of the relatively abundant unskilled labor in Bangladesh Khondker and Mujeri The reduction of wage differential among skilled and unskilled labor can produce large positive income effect on the poor for which targeted 42 For elaboration on these and other results, see Khondker and Mujeri , Mujeri and Khondker The implications, as reflected in policies, highlighted that trade reforms have neither readily nor necessarily benefited the poor in Bangladesh.

The important agenda identified for Bangladesh has been to effectively manage the liberalization process so as to realize the opportunities in a more credible and equitable manner. In particular, policies have been stressed for adjusting the quality, timing and scope of liberalization in order to create effective links with several facilitating factors, such as strengthening of local enterprises and infrastructure; development of human resources and technological capabilities; and building domestic capacity and creating market access.

This, as the policy prescriptions highlight, would require complementary policies for developing small and medium enterprises and agro-based industries, improving access to the credit market, ensuring labor market flexibility, investing in skill development, disseminating market and technical information, and similar measures. The situation has remained largely unchanged after the structural adjustment period although influencing methods have assumed different forms.

The adoption of a historical perspective in understanding the role of external influence on policies is important in Bangladesh. At the country level, change in the government in brought a different ideological cast covering a broad range of policy issues. This led to significant openness to change and willingness to entertain new ideas along with culmination of prominence of donor institutions e.

World Bank and IMF in domestic policy making. While, in subsequent years significant policy shift due to political change was much less, an important source of policy change came from the practice of turning to new sources for policy advice by different regimes.

The practice brings in new players into prominence both inside and outside the government as well as new ideas. Along with the external factors, steps toward globalization and the rapid spread of information technologies also generated profound impact on various sectors and regions of Bangladesh. These changes manifest significant implications for specific policy networks as well as impact on public policies even in areas that are not the focus of attention. Measuring such impact is, however, a matter of controversy.

In practice, it is difficult, for example, to conceptualize and measure the extent to which research can influence policy, identify decision makers to whom research outcomes should be addressed, and design a research that could lead to influencing the policy. In terms of institutional process, an important issue that needs explicit action for strengthening research-policy links in Bangladesh is to remove the constraints that create and sustain the distance between the researchers and the policy makers as separate groups.

This, among others, is a major bottleneck in undertaking research that timely fits with the demands for decisions by policy makers. One may also identify from the present review that the policy making process has not always followed a predictable pattern; unexpected events often dominated the course of policy history in Bangladesh.

Such events, as we have seen, emerged as decisive at particular times to ensure serious consideration of alternatives to existing policies and adoption of new policies. A strong view also persists that research-policy link is not a direct one and research is only one of many sources of information for policy makers. See, for instance, Weiss , Caplan The approach identifies three streams of activities that attempt to move alternatives higher on the agenda. These are: the problem stream, the policy stream, and the political stream.

See, Kingdon Although there may exist considerable overlaps within these groups, one critical issue to ensuring research influence on policies often has been the ability to ensure the presence of multiple audiences, even with conflicting interests. Concluding Observations From an operational perspective, influencing policies is the ultimate goal of conducting macroeconomic impact assessments.

An important requirement for this to happen is the existence of strong research-policy links that would ensure the use of EPIA outcomes in actual formulation of macroeconomic policies, directly or indirectly. As the study indicates, the analysis of policy relevance and effectiveness of EPIAs requires understanding of several underlying processes, such as how receptive is the macroeconomic policy agenda to research outcomes; what is the extent to which research can influence the processes, activities and actions underlying the policy making framework; in what ways research affects policy; and, finally, how to attribute or measure the influence of research on policy.

Many of these issues are complex and beyond the scope of the present study. The purpose here has been to gain a deeper understanding of the EPIA process toward macroeconomic policy making in Bangladesh and provide inputs to creating a more informed policy making environment in the country. Although the ultimate objective of conducting EPIAs is to have a clear impact on macroeconomic policy, a realistic assessment of the situation in Bangladesh indicates that such influence should not focus on measuring policy changes alone.

Within the complex and nascent policy making environment of the country, the assessment of policy influence of research in unambiguous and measurable terms is difficult.

A practical approach, therefore, needs to focus on intermediate influences which are often important for building policy capacity and furthering dialogues to bring consensus and enhance the chances of adoption of research-based policies. The present review indicates that the capacity of EPIAs to influence policies and bring positive changes in the underlying policy environment depends, to a large extent, on the 46 It has also been observed that the relative strength and power to influence policy of the same actor can vary with time.

For instance, when like-minded individuals assume important positions in the government or as policy makers, certain think tanks or researchers assume greater currency and form a dominant coalition. Obviously, this is related to the broader issue of research-policy nexus that exists in the country. The reality, however, is that the relationship between research and policy making is still vaguely understood in Bangladesh.

Nevertheless, building and strengthening such relationships will require specific actions to bridge the gaps. A positive development in the above context is that the boundaries between researchers and policy makers are becoming increasingly permeable in Bangladesh, allowing acknowledged macroeconomic experts to move frequently between institutions both inside and outside the government e. Such flexibilities are useful, although may not be of direct relevance to policy decisions, to generate significant and powerful influence over a longer period of time through altering perceptions, ideas and concepts of policy makers leading to improved policies in future.

In bringing EPIAs closer to policies, the role of intermediary institutions is important in Bangladesh. Often these networks act as useful sources of both knowledge and information sharing and creating direct policy impact.

Even within the realm of macroeconomic policy, the reality in Bangladesh is that there exist different institutions and actors dealing with specific set of policies. The government agencies and actors are different for designing and implementing specific policy e. A difficult challenge for EPIAs community is, therefore, to deal with fragmented jurisdiction within the government. One may sometimes have to deal with smaller units of individual departments having competing interests and differing capacities in policy making.

In promoting specific agenda, it has been observed that advocacy coalitions covering various sections of the government and non-government actors sharing similar values and beliefs can become a powerful force in influencing policies in Bangladesh. In practice, it is seen that such coalitions may acquire some degree of stability and their preferred policies are unlikely to change easily if the coalitions are strong and powerful and the policies are built around their core beliefs or common interests.

In such cases, an inherent conservatism toward maintaining the status quo has been the outcome, with some changes in policies of secondary importance in response to credible studies or compelling anecdotal evidence of the EPIAs. Findings of the present study stresses that a strong determinant of relevance and usefulness of a particular research to the policy makers in Bangladesh is how EPIAs are conducted and for what purpose.

Furthermore, the review indicates that if the majority of decision making is of a routine or incremental nature, the scope of applying research outcome becomes limited.

Conversely, the big demand for, and the receptivity to, research in Bangladesh came when fundamental and new policy decisions were anticipated either due to change in political regime e. In recent years, Bangladesh has significantly reduced its aid-dependence through successful efforts of export promotion and domestic resource mobilization.

Afsar, A. Rahman and B. Abrego, L. Ahmad, S. Keyzer, M. Mujeri and W. Alamgir, M. Boyce, J. Bruno, M. Ravallion and L. Tanzi and K. Chu eds. Bussolo, M. Caplan, N. Savard and E. Their low level of earning means that their expenditure level is also low with most of their earnings spent on food.

As a result, essential non-food items like health and education are often neglected. In recent times chimerical is overwhelmingly used as preservative for food especially fish and fruits.

Although people from all social strata are affected, the poor communities are severely affected as they have no option to buy quality food from super markets where there are some means to prevent it. We have no option to choose quality food from super market which is reserved for the rich. In fact, chronic malnutrition and poor health is the result of deprivation of necessary food items over a long period of time.

Housing is an important aspect of the quality of life and necessary expression of material well-being. Material deprivation and higher levels of vulnerabilities of the urban poor to housing conditions clearly revealed through tenure insecurity and poor quality of housing.

The poor communities have no access to urban land and the most have been forced to settle on vacant land on the periphery of the city, where they have been relocated because of increasing demand for land and its increasing value.

The poor quality of construction materials makes their houses vulnerable to annual floods. They have limited access to urban infrastructure services despite living in the city for a long time. Whatever the reason for the appalling environmental conditions in which poor people live, the sanitation is far from satisfactory when their health is endangered and they are also obliged to devote time which could otherwise be used for productive income-generating work to obtain daily supplies of potable water or fuel.

The poor living in other peripheries are also experiencing the similar forms of environmental injustices. The fact is, the poor physical and environmental contexts, which is the lot of the poor, is the result not only of rapid urbanization and limited resources, but critically of a lack of political will of urban and national governments and individuals to invest in much needed infrastructure.

Infant and children are the most affected groups in the urban slums. Despite ill health and prevalence of diseases the urban people have limited access to available healthcare services. Long-wait and less attention are the common groups for avoiding public hospitals by the poor people. Moreover, privatization of urban healthcare facilities has created the new challenges for the urban poor in recent decades.

These private hospitals and clinics only serve the rich people. The exclusion of the poor from the city healthcare services often compels them to undertake a variety of alternative treatments. Poor children are extremely vulnerable to diseases and they do not get proper medical treatment because of the low household incomes, resulting in a higher rate of infant mortality in the city slums. The peripherilization process has created the new enclaves of poverty. The poor people living in the peripheries are often treated as criminals by the authorities.

Punishing the poor becomes the most important agenda of the neoliberal state. The fact is, residential segregation has created stigmatization and the city of walls. People from wealthy suburbs of Dhaka are scared of visiting the urban peripheries. A number of interviews were conducted with residents of Dhanmondi about the images of the poor neighborhood of Kamrangircha.

Most of them consider the place as dangerous neighbourhood where the criminals are mostly living. Even I am scared of visiting there in day time. I think it is totally occupied by criminals and dangerous people. The poverty and marginality leads to violence and protests in the urban peripheries. The exclusion and deprivation of the new urban poor and their victimization by the authorities make them desperate. Interviews with a number of garments workers reveal their justifications for the protest.

It is true that exclusions and deprivations of the new urban marginals lead to violence there. In fact, urban slums have always been sites of violence and social confrontation but globalization has only produced more complex violence through diversifying cultural and social identifications globally.

The poor people mostly take health and education services from these faith based organizations and they have some support to their activities. Mousseau observed the support for Islamist groups among the urban poor in many Muslim countries including Bangladesh.

The poor children having no access to schools often prefer to go there for learning. The poverty has forced them to depend on such faith based education.

They are most likely the supporters of Islamists. They think their poverty and vulnerability could be ended up through the establishment of the new faith based society. However, the poverty and marginality in the urban peripheries leads to the faith based political movement in Dhaka. It is true that armed with the MDG goals of poverty alleviation and urban shelter, international agencies and NGOs have become involved with grassroots organizations concerned with gaining secure tenure of land, adequate and durable housing, and access to elements of urban infrastructure, notably to electricity, transport, sanitation and allied services.

Apocalyptic urbanism which refers to the new urbanism outlived its original purpose due to the emerging urban climacteric has been the formation of a number of international organizations and projects to alleviate urban poverty. Slums developed in the new urban peripheries as an emergency measure has emerged as a kind of humanitarian problem.

Conclusion The formation of new urban poverty in the peripheries represents a vital area of research which can only attract greater attention. The rapid urbanization makes the city of Dhaka a major site of research.

Along with these factors environmental challenges push huge number of rural poor to the city of Dhaka. This massive migration of rural population to the city leads to the development of the new urban peripheries of Dhaka.

Moreover, the urban renewal and redevelopment justified for beautification of the city has forced the urban poor to be resettled in the peripheries during the period of neoliberal urban transformation. Life and labour in the urban peripheries reveals their poverty and marginality.

Poverty is clearly seen in terms of their consumption, housing and access to the services in the city. The exclusion and deprivation of the urban poor and their criminilization by the authorities often make them desperate and violent. To browse Academia. Log in with Facebook Log in with Google. Remember me on this computer.

Enter the email address you signed up with and we'll email you a reset link. Need an account? Click here to sign up. Download Free PDF. Mokhamad Anwar. A short summary of this paper. Anwar, S. Nidar, Y. Nababan Universitas Padjadjaran Bandung,, Indonesia layyinaturrobaniyah unpad.

Established businesses small and medium enterprises. With the existing effort, people are help communities earn income while providing new jobs.

The expected to earn income so that they can meet their daily needs and improve their welfare. This study aims to determine the effect of establishment of easy and small capital makes MSMEs widely microcredit and the performance of MSMEs on poverty alleviation known to the people of Indonesia and the number continues to in affected people around Jatigede Reservoir, Sumedang, West increase from year to year.

Based on BPS, the number of Java. This shows that the potential people. Data collection is done by filling out a questionnaire of MSMEs in eradicating poverty in Indonesia is very big. The results of this study indicate that microcredit and the performance of of MSMEs in Indonesia do not have access to banks. Uploaded by RaianNahid. Document Information click to expand document information Description: this presentation describes the economic condition of bangladesh.

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