Changing Sources of Household Income, Poverty, and Sectoral Inequality in Sri Lanka, 1990–2006

Comparing dynamic changes in household income and poverty among urban, rural, and estate sectors in Sri Lanka from 1990 to 2006, this study finds that a shift of household income away from farm to nonfarm sources is accompanied by a significant improvement in household income and reduction in povert...

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Veröffentlicht in:Developing economies 2014-03, Vol.52 (1), p.26-51
Hauptverfasser: Kumanayake, Nandika S., Estudillo, Jonna P., Otsuka, Keijiro
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creator Kumanayake, Nandika S.
Estudillo, Jonna P.
Otsuka, Keijiro
description Comparing dynamic changes in household income and poverty among urban, rural, and estate sectors in Sri Lanka from 1990 to 2006, this study finds that a shift of household income away from farm to nonfarm sources is accompanied by a significant improvement in household income and reduction in poverty, particularly in the rural sector. Major contributing factors are the rise in returns to labor, in general, and educated labor, in particular, due to the development of the nonfarm labor market. Persistently low income among estate households can be explained primarily by the limited availability of nonfarm employment opportunities and the low education levels of working members.
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source Wiley Online Library Journals Frontfile Complete; Elektronische Zeitschriftenbibliothek - Frei zugängliche E-Journals; Wiley Free Content
subjects Education
Farm and nonfarm labor markets
Household income
Income inequality
J24
J43
Labour market
Low income
O15
Poverty
Poverty reduction
Sri Lanka
title Changing Sources of Household Income, Poverty, and Sectoral Inequality in Sri Lanka, 1990–2006
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