Working paper
Measuring chronic poverty
- Abstract:
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A new class of chronic poverty measures is constructed that builds upon Jalan and Ravallion (1998) but does not require resources in different periods to be perfect substitutes when identifying the chronically poor. We use a general mean to combine the resources of a person into a permanent income standard that is then compared to a poverty line to determine when a person is chronically poor. The parameter of the general mean allows for varying degrees of substitutability over time, from perfect substitutes at to perfect complements as β tends to -¥. The decomposable Clark, Hemming and Ulph (1981) poverty measure with the same parameter β is applied to the distribution of permanent income standards to measure overall chronic poverty. Each measure has a convenient expression in terms of a censored matrix and satisfies a host of properties including decomposability. We provide an empirical application of the new measures using panel data from urban areas in Argentina.
- Publication status:
- Published
- Peer review status:
- Reviewed (other)
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(Preview, Version of record, pdf, 370.8KB, Terms of use)
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Authors
- Publisher:
- Oxford Poverty & Human Development Initiative (OPHI)
- Series:
- OPHI working paper
- Publication date:
- 2012-01-01
- Edition:
- Publisher's version
- ISSN:
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2040-8188
- Paper number:
- 52
- ISBN:
- 9781907194382
- Language:
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English
- Keywords:
- UUID:
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uuid:01bf4be9-1923-45f4-9e24-db9f38b8ad6c
- Local pid:
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ora:9464
- Deposit date:
-
2014-12-02
- ARK identifier:
Terms of use
- Copyright holder:
- Oxford Poverty & Human Development Initiative
- Copyright date:
- 2012
- Notes:
- Copyright © Oxford Poverty & Human Development Initiative 2012. This publication is copyright, however it may be reproduced without fee for teaching or non-profit purposes, but not for resale. Formal permission is required for all such uses, and will normally be granted immediately. For copying in any other circumstances, or for re-use in other publications, or for translation or adaptation, prior written permission must be obtained from OPHI and may be subject to a fee.
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