Social capital and poverty of rural households in Burkina Faso

Jean-Pierre Windpanga SAWADOGO
Université Thomas SANKARA, Unité de Formation et de Recherche
en Sciences Economiques et de Gestion (UFR-SEG), Burkina Faso


Purpose : This paper analyses the effect of social capital on household poverty in rural Burkina Faso.

Design/methodology/approach : This research suggests an endogeneity problem leading to the use of two two-stage methods: the two-stage least squares Probit approach (2SPLS) and the two-stage conditional maximum likelihood approach (2SCML). Using survey data from the National Land Management Program (PNGT 2) collected in 2011 from rural households.

Findings : The investigations revealed that access to social capital positively affects house­hold consumption and reduces poverty. These results further show that income is negatively associated with access to social capital. Government strategies to reduce household poverty in rural areas should encourage the organization of producers into groups with a focus on low-income producers.

Originality/value : Social capital plays an important role in improving household living conditions, regardless of geographical location. However, socio-cultural realities vary from one area to another, which affects the organization and content of associations and groups. Despite the many studies on the subject, very few have focused on Burkina Faso. The few studies that have been carried out have not examined the dual causality between social capital and poverty. This research, which uses national-level data, can help to deepen, and broaden knowledge on the issue.

Keywords: poverty, social capital, household income, Burkina Faso.

JEL classification : D10, D70, D83, I30, Z13.