Simulation results show the potential usefulness of this class of models to derive both poverty and inequality measures and transition matrices without prior assumptions regarding the intra-group income distribution. Market clearing equations allow for the endogenous determination of relative prices between sectors. The impact of different growth strategies on poverty and inequality is complex given general equilibrium effects and the wide range of household positions in markets for factors and goods markets. Partial equilibrium analysis or the use of representative households would miss these effects. Download full-text discussion paper .
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