Prioritizing Pro-Poor Policy Instrument to Reduce Poverty in Liberia Using Nonparametric Mokken Scale Analyses

Implementing a mix of micro and macroeconomics policy instruments to reduce poverty is fundamental for all developing countries. In this study, we engage Liberians in ranking of potential pro-poor policy instruments to reduce poverty and promote entrepreneurial spirit. A purposeful survey was conducted in six markets in Monrovia and her vicinity using a structured questionnaire. In each single day, these markets attract diverse individuals from all over Liberia. Respondents were asked to rank twenty five pro-poor macroeconomics policies on a five-point Likert scale. The responses were analyzed using a nonparametric Mokken scale model. Results indicate that the survey instrument was well scaled. The respondent’s first three priorities were on agricultural research; export promotion and post primary education on entrepreneurship. The three low ranked instruments were: agricultural input subsidies; market access to small businesses; and primary education. However, the government of Liberia is currently promoting investment in roads, primary education, and health services. These outcomes emphasize the bottom-up approach in identifying and prioritizing pro-poor policy instruments in Liberia.