IDEAS home Printed from https://ideas.repec.org/p/aoz/wpaper/233.html
   My bibliography  Save this paper

Graphical Representation of Multidimensional Poverty: Insights for Index Construction and Policy Making

Author

Listed:
  • Rodrigo García Arancibia

    (Universidad Nacional del Litoral/CONICET)

  • Ignacio Girela

    (Universidad Nacional de Córdoba/CONICET)

Abstract

By means of probabilistic graphical models, in this paper, we present a new framework for exploring relationships among indicators commonly included in the Multidimensional Poverty Index (MPI). In particular, we propose an Ising model with covariates for modeling the MPI as an undirected graph. First, we prove why Ising models are consistent with the theoretical distribution of MPI indicators. Then, a comparison between our estimates and the association measures typically used in the literature is provided. Finally, we show how undirected graphs can complement the MPI policy relevant properties, apart from discovering further insightful patterns that can be useful for policy purposes. This novel approach is illustrated with an empirical application for the global MPI indicators of Guinea and Ecuador, taking living areas and monetary poverty as covariates,respectively

Suggested Citation

  • Rodrigo García Arancibia & Ignacio Girela, 2023. "Graphical Representation of Multidimensional Poverty: Insights for Index Construction and Policy Making," Working Papers 233, Red Nacional de Investigadores en Economía (RedNIE).
    • Handle: RePEc:aoz:wpaper:233
    as

    Download full text from publisher

    File URL: https://rednie.eco.unc.edu.ar/files/DT/233.pdf
    Download Restriction: no
    ---><---

    References listed on IDEAS

    as
    1. Stephan Klasen & Simon Lange, 2015. "Targeting Performance and Poverty Effects of Proxy Means-Tested Transfers: Trade-offs and Challenges," Ibero America Institute for Econ. Research (IAI) Discussion Papers 231, Ibero-America Institute for Economic Research.
    2. Sabina Alkire & James E. Foster & Suman Seth & Maria Emma Santos & Jose M. Roche & Paola Ballon, 2015. "Multidimensional Poverty Measurement and Analysis: Chapter 7 - Data and Analysis," OPHI Working Papers 88, Queen Elizabeth House, University of Oxford.
    3. Van Q. Tran & Sabina Alkire & Stephan Klasen, 2015. "Static and Dynamic Disparities between Monetary and Multidimensional Poverty Measurement: Evidence from Vietnam," Research on Economic Inequality, in: Thesia I. Garner & Kathleen S. Short (ed.), Measurement of Poverty, Deprivation, and Economic Mobility, volume 23, pages 249-281, Emerald Publishing Ltd.
    4. Roberto Angulo, 2016. "From Multidimensional Poverty Measurement to Multisector Public Policy for Poverty Reduction: Lessons from the Colombian Case," OPHI Working Papers 102, Queen Elizabeth House, University of Oxford.
    5. Nicolai Suppa, 2016. "Comparing Monetary and Multidimensional Poverty in Germany," OPHI Working Papers ophiwp103_1.pdf, Queen Elizabeth House, University of Oxford.
    6. Joseph Stiglitz & Amartya Sen & Jean-Paul Fitoussi, 2009. "The measurement of economic performance and social progress revisited: Reflections and Overview," Sciences Po publications 2009-33, Sciences Po.
    7. Alkire, Sabina & Foster, James, 2011. "Counting and multidimensional poverty measurement," Journal of Public Economics, Elsevier, vol. 95(7-8), pages 476-487, August.
    8. Sabina Alkire & James E. Foster & Suman Seth & Maria Emma Santos & Jose M. Roche & Paola Ballon, 2015. "Multidimensional Poverty Measurement and Analysis: Chapter 2 - The Framework," OPHI Working Papers 83, Queen Elizabeth House, University of Oxford.
    9. repec:hal:wpspec:info:hdl:2441/5l6uh8ogmqildh09h4687h53k is not listed on IDEAS
    10. repec:hal:spmain:info:hdl:2441/5l6uh8ogmqildh09h4687h53k is not listed on IDEAS
    11. Van Q. Tran & Sabina Alkire & Stephan Klasen, 2015. "Static and Dynamic Disparities between Monetary and Multidimensional Poverty Measurement: Evidence from Vietnam," Research on Economic Inequality, in: Measurement of Poverty, Deprivation, and Economic Mobility, volume 23, pages 249-281, Emerald Group Publishing Limited.
    12. Alkire, Sabina & Santos, Maria Emma, 2014. "Measuring Acute Poverty in the Developing World: Robustness and Scope of the Multidimensional Poverty Index," World Development, Elsevier, vol. 59(C), pages 251-274.
    13. Sabina Alkire and Suman Seth, 2016. "On Relationship between Income Poverty and Multidimensional Poverty in China," OPHI Working Papers ophiwp101_1.pdf, Queen Elizabeth House, University of Oxford.
    14. Roberto Angulo & Yadira Díaz & Renata Pardo, 2016. "The Colombian Multidimensional Poverty Index: Measuring Poverty in a Public Policy Context," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 127(1), pages 1-38, May.
    15. Maria Emma Santos & Pablo Villatoro, 2018. "A Multidimensional Poverty Index for Latin America," Review of Income and Wealth, International Association for Research in Income and Wealth, vol. 64(1), pages 52-82, March.
    16. Roberto Angulo, 2016. "From Multidimensional Poverty Measurement to Multisector Public Policy for Poverty Reduction: Lessons from the Colombian Case," OPHI Working Papers ophiwp102_1.pdf, Queen Elizabeth House, University of Oxford.
    17. Lukas Salecker & Anar K. Ahmadov & Leyla Karimli, 2020. "Contrasting Monetary and Multidimensional Poverty Measures in a Low-Income Sub-Saharan African Country," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 151(2), pages 547-574, September.
    18. Nicolai Suppa, 2016. "Comparing Monetary and Multidimensional Poverty in Germany," OPHI Working Papers 103, Queen Elizabeth House, University of Oxford.
    19. Sabina Alkire, James E. Foster, Suman Seth, Maria Emma Santos, Jose M. Roche and Paola Ballon, 2015. "Multidimensional Poverty Measurement and Analysis: Chapter 9 - Distribution and Dynamics," OPHI Working Papers ophiwp090_ch9.pdf, Queen Elizabeth House, University of Oxford.
    20. Sabina Alkire, James E. Foster, Suman Seth, Maria Emma Santos, José M. Roche and Paola Ballon, 2015. "Multidimensional Poverty Measurement and Analysis: Chapter 7 - Data and Analysis," OPHI Working Papers ophiwp088_ch7.pdf, Queen Elizabeth House, University of Oxford.
    21. Lidia Ceriani & Chiara Gigliarano, 2020. "Multidimensional Well-Being: A Bayesian Networks Approach," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 152(1), pages 237-263, November.
    22. Jie Cheng & Elizaveta Levina & Pei Wang & Ji Zhu, 2014. "A sparse ising model with covariates," Biometrics, The International Biometric Society, vol. 70(4), pages 943-953, December.
    23. Alkire, Sabina & Foster, James & Seth, Suman & Santos, Maria Emma & Roche, Jose Manuel & Ballon, Paola, 2015. "Multidimensional Poverty Measurement and Analysis," OUP Catalogue, Oxford University Press, number 9780199689491.
    24. Sabina Alkire & James E. Foster & Suman Seth & Maria Emma Santos & Jose M. Roche & Paola Ballon, 2015. "Multidimensional Poverty Measurement and Analysis: Chapter 9 - Distribution and Dynamics," OPHI Working Papers 90, Queen Elizabeth House, University of Oxford.
    25. Iceland, John & Bauman, Kurt J., 2007. "Income poverty and material hardship: How strong is the association?," Journal of Behavioral and Experimental Economics (formerly The Journal of Socio-Economics), Elsevier, vol. 36(3), pages 376-396, June.
    26. Keetie Roelen, 2017. "Monetary and Multidimensional Child Poverty: A Contradiction in Terms?," Development and Change, International Institute of Social Studies, vol. 48(3), pages 502-533, May.
    27. Sabina Alkire, James E. Foster, Suman Seth, Maria Emma Santos, José M. Roche and Paola Ballon, 2015. "Multidimensional Poverty Measurement and Analysis: Chapter 2 - The Framework," OPHI Working Papers ophiwp083_ch2.pdf, Queen Elizabeth House, University of Oxford.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Rodrigo García Arancibia & Ignacio Girela, 2021. "Conditional Associations of Multidimensional Poverty Indicators in Argentina: A Graphical Representation," Asociación Argentina de Economía Política: Working Papers 4478, Asociación Argentina de Economía Política.
    2. Pinaki Das & Bibek Paria & Shama Firdaush, 2021. "Juxtaposing Consumption Poverty and Multidimensional Poverty: A Study in Indian Context," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 153(2), pages 469-501, January.
    3. Khaufelo Raymond Lekobane, 2022. "Does it matter which poverty measure we use to identify those left behind? Investigating poverty mismatch and overlap for Botswana," Journal of Social and Economic Development, Springer;Institute for Social and Economic Change, vol. 24(1), pages 171-196, June.
    4. Gallardo, Mauricio, 2022. "Measuring vulnerability to multidimensional poverty with Bayesian network classifiers," Economic Analysis and Policy, Elsevier, vol. 73(C), pages 492-512.
    5. Fan Yang & Krishna P. Paudel, 2023. "Nutrition, multidimensional poverty and income: The case of Nepal," Journal of International Development, John Wiley & Sons, Ltd., vol. 35(7), pages 1962-1984, October.
    6. Deniz Sevinc, 2020. "How Poor is Poor? A novel look at multidimensional poverty in the UK," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 149(3), pages 833-859, June.
    7. Khaufelo Raymond Lekobane & Keetie Roelen, 2020. "Leaving No One Behind: Multidimensional Child Poverty in Botswana," Child Indicators Research, Springer;The International Society of Child Indicators (ISCI), vol. 13(6), pages 2003-2030, December.
    8. Shatakshee Dhongde & Robert Haveman, 2022. "Spatial and Temporal Trends in Multidimensional Poverty in the United States over the Last Decade," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 163(1), pages 447-472, August.
    9. Khaufelo Raymond Lekobane, 2022. "Leaving No One Behind: An Individual-Level Approach to Measuring Multidimensional Poverty in Botswana," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 162(1), pages 179-208, July.
    10. Klasen, Stephan & Villalobos, Carlos, 2020. "Diverging identification of the poor: A non-random process. Chile 1992–2017," World Development, Elsevier, vol. 130(C).
    11. Anh Thu Quang Pham & Pundarik Mukhopadhaya & Ha Vu, 2020. "Targeting Administrative Regions for Multidimensional Poverty Alleviation: A Study on Vietnam," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 150(1), pages 143-189, July.
    12. Hernando Grueso, 2023. "Unveiling the Causal Mechanisms Within Multidimensional Poverty," Evaluation Review, , vol. 47(6), pages 1107-1134, December.
    13. Ricz, Judit & Deák, Ágnes, 2022. "A többdimenziós szegénység mérése - latin-amerikai tapasztalatok [Measurement of multidimensional poverty: Latin American experiences]," Közgazdasági Szemle (Economic Review - monthly of the Hungarian Academy of Sciences), Közgazdasági Szemle Alapítvány (Economic Review Foundation), vol. 0(3), pages 389-412.
    14. Gaurav Datt, 2019. "Multidimensional poverty in the Philippines, 2004–2013: How much do choices for weighting, identification and aggregation matter?," Empirical Economics, Springer, vol. 57(4), pages 1103-1128, October.
    15. Verónica Amarante & Maira Colacce, 2022. "Multidimensional Poverty Among Older People in Five Latin American Countries," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 159(3), pages 945-965, February.
    16. Najam, Zaira, 2020. "The Sensitivity of Poverty Trends to Dimensionality and Distribution Sensitivity in Poverty Measures - District Level Analysis for Pakistan," MPRA Paper 102383, University Library of Munich, Germany.
    17. Alkire, Sabina & Nogales, Ricardo & Quinn, Natalie Naïri & Suppa, Nicolai, 2023. "On track or not? Projecting the global Multidimensional Poverty Index," Journal of Development Economics, Elsevier, vol. 165(C).
    18. Burhan Can Karahasan & Fırat Bilgel, 2021. "The Topography and Sources of Multidimensional Poverty in Turkey," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 154(2), pages 413-445, April.
    19. Nick Bailey & Anne-Catherine Guio, 2022. "Adaptive Deprivation Scales in a Multi-National Context: The European Child Deprivation Indicators," Child Indicators Research, Springer;The International Society of Child Indicators (ISCI), vol. 15(6), pages 2335-2362, December.
    20. Alkire, Sabina & Oldiges, Christian & Kanagaratnam, Usha, 2021. "Examining multidimensional poverty reduction in India 2005/6–2015/16: Insights and oversights of the headcount ratio," World Development, Elsevier, vol. 142(C).

    More about this item

    Keywords

    MPI; Markov Random Fields; Ising Model; Conditional Dependency; Deprivations;
    All these keywords.

    JEL classification:

    • I3 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty
    • C18 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods and Methodology: General - - - Methodolical Issues: General
    • C35 - Mathematical and Quantitative Methods - - Multiple or Simultaneous Equation Models; Multiple Variables - - - Discrete Regression and Qualitative Choice Models; Discrete Regressors; Proportions

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:aoz:wpaper:233. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Laura Inés D Amato (email available below). General contact details of provider: https://edirc.repec.org/data/redniar.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.