Globalization and Complementary Policies: Poverty Impacts in Rural Zambia

Jorge F. Balat and Guido G. Porto

in Globalization and Poverty

Published by University of Chicago Press

Published in print April 2007 | ISBN: 9780226317946
Published online February 2013 | e-ISBN: 9780226318004 | DOI:
Globalization and Complementary Policies: Poverty Impacts in Rural Zambia

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This chapter states that wages in Zambia accounted for only 6 percent of income for the rural poor in 1998. It specifically examines the links between trade, complementary policies, and poverty observed in Zambia during the last decade, and explores how new trade alternatives may bring about poverty alleviation in the future. Significant differences in the poverty rates across the regions are shown. As in the cases of cotton, tobacco, and maize, the magnitudes of the gains observed suggest that rural employment in commercial farms could be a good instrument for poverty alleviation. Moreover, the increase in market agriculture is associated with the observed increase in exports of nontraditional agricultural products. Rural Zambians would gain substantially from expanding world markets, particularly in terms of cotton, tobacco, and maize income as well as wage income.

Keywords: wages; Zambia; trade; poverty; cotton; tobacco; maize; rural employment; market agriculture

Chapter.  14894 words.  Illustrated.

Subjects: Economic Development and Growth

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