Education and poverty linkage in Malawi: A district level analysis

Abstract

The need to reduce poverty in all its forms remains a priority around the world. The fact that countries with higher incidences of growth have an associated reduction in poverty levels is uncontested both in theory and in empirical findings. The channels through which growth results into poverty reduction are not clear. This study looks at education as a channel through which economic growth and poverty reduction are linked. Using data on districts in Malawi, we estimate a regression with the headcount poverty as a dependent variable and education at different levels as independent variables. The results show that there is a significant relationship between education qualification and poverty reduction at district level in Malawi. MSCE qualification has the highest coefficient, meaning that policies that would encourage attaining an MSCE (O-level equivalent) would have a more significant impact on poverty reduction than just attaining primary level qualification