Azerbaijan experienced a 'golden age' in the last decade, during which the average growth rate reached record high levels and poverty decreased significantly. On average, the economy grew by 15.3 percent per year in real terms during this period. As a result, poverty declined dramatically from 49.6 percent in 2001 to 15.8 percent in 2008. This study takes an inclusive growth approach to investigating the ways in which the country's high growth was translated into significant poverty reduction. The report first investigates the sources of growth in Azerbaijan with an emphasis on sectoral...