Weak pass-through of growth to household incomes in Arab countries
Arab countries are unlikely to eradicate extreme poverty by 2030, even under the best-case scenario of a full ‘pass-through’ of national growth to household incomes. This column presents new projections for pass-through and poverty trends in both the region and the world as a whole. Lower rates of pass-through suggest the importance of incorporating distributional policies into the design of national poverty reduction plans.