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Why is Poverty So High Among Afro-Brazilians? A Decomposition Analysis of the Racial Poverty Gap

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  • Carlos Gradin

Abstract

This study aimed to identify the major factors underlying the discrepancy in poverty levels between whites and blacks in Brazil. An Oaxaca-Blinder-type decomposition was performed in order to quantify the extent to which differences in observed characteristics (characteristics effect) account for this difference. The remaining unexplained part (coefficients effect) provides evidence on how these characteristics are differentially associated with the risk of poverty in each group. Our results show that the characteristics effect explains a large part of the discrepancy in poverty levels: education and labour variables explain one-half of the gap, and geographic and sociodemographic variables another two-fifths.

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Bibliographic Info

Article provided by Taylor & Francis Journals in its journal Journal of Development Studies.

Volume (Year): 45 (2009)
Issue (Month): 9 ()
Pages: 1426-1452

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Handle: RePEc:taf:jdevst:v:45:y:2009:i:9:p:1426-1452

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Cited by:
  1. Luis Ayala & Antonio Jurado & Jesús Pérez-Mayo, 2009. "Income Poverty and Multidimensional Deprivation: Lessons from Cross-Regional Analysis," Working Papers 106, ECINEQ, Society for the Study of Economic Inequality.
  2. Ryan Nehring & Ben McKay, 2013. "Scaling Up Local Development Initiatives: Brazil?s Food Acquisition Programme," Working Papers 106, International Policy Centre for Inclusive Growth.
  3. Carlos Gradín, 2012. "Poverty among minorities in the United States: explaining the racial poverty gap for Blacks and Latinos," Applied Economics, Taylor & Francis Journals, vol. 44(29), pages 3793-3804, October.
  4. Timm Bönke & Carsten Schröder, 2011. "Poverty in Germany – Statistical Inference and Decomposition," Journal of Economics and Statistics (Jahrbuecher fuer Nationaloekonomie und Statistik), Justus-Liebig University Giessen, Department of Statistics and Economics, vol. 231(2), pages 178-209, April.

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