Resource information
Structural reforms are often designed to
change the prices of key goods and services. Since the
overall intention of such reforms is the reduction of
poverty, it is important to understand how the resulting
price changes affect the poor. However, organizations
seeking to provide timely advice to policymakers in
developing countries often do not have the data and
resources needed to undertake the most sophisticated
approaches to such analysis. McCulloch outlines a simple
methodology based on the analysis of household survey data
to estimate the first-order impact of a variety of
structural reforms. He also elaborates on the ways in which
this methodology may be extended in a flexible way to
account for particular features of a country in question.
Finally, he outlines the direction of some extensions on the
approach to tackle dynamics, risk, and qualitative poverty analysis.