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Chronic and transient poverty: Measurement and estimation, with evidence from China

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Author Info

  • Duclos, Jean-Yves
  • Araar, Abdelkrim
  • Giles, John

Abstract

The paper contributes to the measurement of poverty and vulnerability in three ways. First, it proposes a new approach to separating poverty into chronic and transient components. Second, it provides corrections for the statistical biases introduced when using a small number of periods to estimate the importance of vulnerability and transient poverty. Third, it applies these tools to the measurement of chronic and transient poverty in China using a rich panel data set that extends over 17Â years. Alternative measurement techniques are found to yield significantly different estimates of the relative importance of chronic and transient poverty. The precision of the estimates is also considerably enhanced by simple statistical corrections.

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Bibliographic Info

Article provided by Elsevier in its journal Journal of Development Economics.

Volume (Year): 91 (2010)
Issue (Month): 2 (March)
Pages: 266-277

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Handle: RePEc:eee:deveco:v:91:y:2010:i:2:p:266-277

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Web page: http://www.elsevier.com/locate/devec

Related research

Keywords: Poverty dynamics Transient poverty Chronic poverty Permanent poverty China;

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References

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Citations

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Cited by:
  1. Aaron Nicholas & Ranjan Ray & Kompal Sinha, 2013. "A Dynamic Multidimensional Measure of Poverty," Development Research Unit Working Paper Series 25-13, Monash University, Department of Economics.
  2. Gräb, Johannes & Grimm, Michael, 2006. "Robust Multiperiod Poverty Comparisons," Economics Papers from University Paris Dauphine 123456789/4330, Paris Dauphine University.
  3. Florent Bresson & Jean-Yves Duclos, 2012. "Intertemporal Poverty Comparisons," Cahiers de recherche 1240, CIRPEE.
  4. repec:ese:iserwp:2013-23 is not listed on IDEAS
  5. Katsushi S. Imai & Jing You, 2013. "Poverty Dynamics of Households in Rural China," Discussion Paper Series DP2013-16, Research Institute for Economics & Business Administration, Kobe University, revised Jun 2013.
  6. Katsushi S. Imai & Jing You, 2011. "Poverty Dynamics of Households in Rural China: Identifying Multiple Pathways for Poverty Transition," Discussion Paper Series DP2011-35, Research Institute for Economics & Business Administration, Kobe University.
  7. Glauben, Thomas & Herzfeld, Thomas & Rozelle, Scott & Wang, Xiaobing, 2012. "Persistent Poverty in Rural China: Where, Why, and How to Escape?," World Development, Elsevier, vol. 40(4), pages 784-795.
  8. Michael Hoy & Buhong Zheng, 2008. "Measuring Lifetime Poverty," Working Papers 0814, University of Guelph, Department of Economics and Finance.
  9. Echevin, Damien, 2011. "Characterizing poverty and vulnerability in rural Haiti: a multilevel decomposition approach," MPRA Paper 35659, University Library of Munich, Germany.
  10. Jäntti, Markus & Jenkins, Stephen P., 2013. "Income Mobility," IZA Discussion Papers 7730, Institute for the Study of Labor (IZA).
  11. John Strauss & Nayoung Lee & Geert Ridder, 2010. "Estimation of Poverty Transition Matrices with Noisy Data," Working Papers id:2796, eSocialSciences.
  12. Giles, John & Wang, Dewen & Zhao, Changbao, 2010. "Can China's rural elderly count on support from adult children ? implications of rural-to-urban migration," Policy Research Working Paper Series 5510, The World Bank.
  13. Giovanni Marano & Gianni Betti & Francesca Gagliardi, 2014. "Latent class Markov models for addressing measurement problems in poverty dynamics," Department of Economics University of Siena 695, Department of Economics, University of Siena.
  14. Bayudan-Dacuycuy, Connie & Lim, Joseph Anthony, 2013. "Family size, household shocks and chronic and transient poverty in the Philippines," Journal of Asian Economics, Elsevier, vol. 29(C), pages 101-112.

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