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Working Paper

Inequality of Outcomes and Inequality of Opportunity in Tanzania

HOUSEHOLD INCOMES PER CAPITA CONSUMPTION RISKS HOUSEHOLD SIZE CONSUMPTION EXPENDITURES INCOME SHARE IMPACT ON POVERTY RURAL INEQUALITY ECONOMIC GROWTH GROUP INEQUALITIES INCOME VARIABLES CAPITAL ACCUMULATION PUBLIC ECONOMICS ILLITERACY CUMULATIVE POPULATION INCOME EMPLOYMENT OPPORTUNITIES REGIONAL LEVEL INEQUALITY INDEX COUNTERFACTUAL ECONOMIC REVIEW DEVELOPING COUNTRIES MEAN LOG DEVIATION EGALITARIAN DISTRIBUTION POLICY DISCUSSIONS AVERAGE INEQUALITY RURAL POOR MEASURES RURAL SECTORS RURAL COMMUNITY DEVELOPED COUNTRIES POVERTY REDUCTION POLICY MEASURES RURAL DWELLERS EARNINGS INEQUALITY LABOR MARKET INEQUALITY LEVELS DISADVANTAGED AREAS PER CAPITA INCOME RURAL HOUSEHOLDS DISCRIMINATION AGAINST WOMEN PRODUCTIVE POTENTIAL HOUSEHOLD HEAD POOR HOUSEHOLD RURAL INCOME DESCRIPTIVE STATISTICS ECONOMIC TRANSFORMATION INEQUALITY MEASURES INCOME INEQUALITY RELATIVE IMPORTANCE TRANSFERS HOUSEHOLD INCOME MEASUREMENT ERROR POOR RURAL HOUSEHOLDS HOUSEHOLD SURVEYS QUANTILE REGRESSIONS EMPIRICAL MODEL PRODUCT POOR GROWTH HOUSEHOLD MEMBERS INCOME DISPARITIES HOUSEHOLD HEADS ECONOMIC RESEARCH EXTERNAL FACTORS RURAL GAP INCOME DATA DECOMPOSITION RESULTS CONSUMPTION HUMAN CAPITAL REDUCING POVERTY RURAL COUNTERPARTS INEQUALITY ESTIMATES ECONOMIC PERFORMANCE POPULATION SHARE GROWTH PROSPECTS RURAL LEVEL RURAL FAMILY MACROECONOMICS REGRESSION RESULTS GROWING ECONOMY ABSOLUTE POVERTY EMPLOYMENT STATUS INCOMES INEQUALITY COUNTRIES RURAL PRIVATE SECTOR INCREASING INEQUALITIES MIDDLE CLASS HOUSEHOLD BUDGET ECONOMIC THEORY RURAL MARKETS MEAN CONSUMPTION POLICY PERSPECTIVE IDIOSYNCRATIC SHOCKS INEQUALITY MEASURE POPULATION COMPOSITION HUMAN CAPITAL ENDOWMENTS ECONOMIC INEQUALITY DATA SETS TARGETING ECONOMIC DEVELOPMENT HIGH INEQUALITY INTERGENERATIONAL MOBILITY DRINKING WATER EXTREME POVERTY IRRIGATION INCOME SHARES ACCESS TO SERVICES RURAL AREAS POVERTY GINI COEFFICIENT HOUSEHOLD CONSUMPTION EXTERNAL SHOCKS POPULATION SUB-GROUPS HOUSEHOLD WELFARE POLICY RESEARCH POVERTY RATE POOR PRIMARY EDUCATION MEASURING INEQUALITY LINEAR REGRESSION RURAL WELFARE HIGH-INEQUALITY DEVELOPING COUNTRIES GROWTH PROCESS POVERTY ALLEVIATION INEQUALITY SECTOR EMPLOYEES POOR HOUSEHOLDS
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World Bank, Washington, DC
Africa | Tanzania
2015-06-02T16:03:45Z | 2015-06-02T16:03:45Z | 2015-05

The paper investigates the structure and dynamics of consumption inequality and inequality of opportunity in Tanzania. The analysis covers the period 2001 to 2012. It reveals moderate and declining levels of consumption inequality at the national level, but increasing inequalities between geographic regions. Spatial inequalities are mainly driven by the disparities of households’ characteristics and endowments across geographic locations. An important part of these endowments results from intergenerational transmission of parental background. Father’s education appears as the most important background variable affecting consumption and income in Tanzania. Without appropriate policy actions, there are few chances for the next generations to spring out of the poverty and inequality lived by their parents, engendering risks of poverty and inequality traps in the country.

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