- Inclusive growth takes a longer-term perspective.
- Focus is on productive employment rather than direct income redistribution.
- Four Attributes (World Bank):
- Opportunity: Generating more opportunities and increasing income.
- Capability: Providing means for people to create/enhance capabilities to exploit opportunities.
- Access: Providing means to bring opportunities and capabilities together.
- Security: Providing means to protect against temporary/permanent loss of livelihood.
- Examples:
- Growth in sectors where the poor work (e.g., agriculture).
- Growth in places where the poor live (e.g., undeveloped areas).
- Using factors of production the poor possess (e.g., unskilled labor).
- Reducing prices of consumption items the poor consume (e.g., food, fuel).