The effects of disasters on income mobility: Bootstrap inference and measurement error simulations
AbstractWe evaluate the impact of disasters on income mobility by drawing on "natural experiments". While the poor have a much higher probability of remaining poor when entering a crisis compared to normal times, there is also a negative effect in the year after. Richer households seem to be unaffected. A simple bootstrap method is proposed to facilitate statistical inference for mobility matrices. Also, we simulate measurement error to illustrate its magnitude on these matrices. Small errors induce a substantial downward bias of the probability of remaining poor, while comp arisons across states seem more robust, which is promising for impact analysis.
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
Bibliographic InfoPaper provided by CMI (Chr. Michelsen Institute), Bergen, Norway in its series CMI Working Papers with number WP 2003:6.
Length: 40 pages
Date of creation: 2003
Date of revision:
Income mobility Effects of disasters Bootstrap Measurement error Simulations Natural experiments Control group Treatment group Poverty;
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Lanjouw, Peter & Ravallion, Martin & DEC, 1994.
"Poverty and household size,"
Policy Research Working Paper Series
1332, The World Bank.
- Adams, Richard H. Jr. & He, Jane J., 1995. "Sources of income inequality and poverty in rural Pakistan:," Research reports 102, International Food Policy Research Institute (IFPRI).
- Besley, Timothy, 1995.
"Savings, credit and insurance,"
Handbook of Development Economics,
in: Hollis Chenery & T.N. Srinivasan (ed.), Handbook of Development Economics, edition 1, volume 3, chapter 36, pages 2123-2207
- Alderman, H. & Paxson, C.H., 1992.
"Do the Poor Insure? A Synthesis of the Literature on Risk and Consumption in Developing Countries,"
164, Princeton, Woodrow Wilson School - Development Studies.
- Alderman, Harold & Paxson, Christina H & DEC, 1992. "Do the poor insure? A synthesis of the literature on risk and consumption in developing countries," Policy Research Working Paper Series 1008, The World Bank.
- Morduch, Jonathan, 1994.
"Poverty and Vulnerability,"
American Economic Review,
American Economic Association, vol. 84(2), pages 221-25, May.
- Mary Jo Bane & David T. Ellwood, 1986. "Slipping into and out of Poverty: The Dynamics of Spells," Journal of Human Resources, University of Wisconsin Press, vol. 21(1), pages 1-23.
- Alderman, Harold & Garcia, Marito, 1993. "Poverty, household food security, and nutrition in rural Pakistan:," Research reports 96, International Food Policy Research Institute (IFPRI).
- Biewen, Martin, 2002. "Bootstrap inference for inequality, mobility and poverty measurement," Journal of Econometrics, Elsevier, vol. 108(2), pages 317-342, June.
- Frank A. Cowell & Maria-Pia Victoria-Feser, 2002. "Welfare Rankings in the Presence of Contaminated Data," Econometrica, Econometric Society, vol. 70(3), pages 1221-1233, May.
- John Bound & Alan B. Krueger, 1989.
"The Extent of Measurement Error In Longitudinal Earnings Data: Do Two Wrongs Make A Right?,"
NBER Working Papers
2885, National Bureau of Economic Research, Inc.
- Bound, John & Krueger, Alan B, 1991. "The Extent of Measurement Error in Longitudinal Earnings Data: Do Two Wrongs Make a Right?," Journal of Labor Economics, University of Chicago Press, vol. 9(1), pages 1-24, January.
- Lars Osberg & Kuan Xu, 2000.
"International Comparisons of Poverty Intensity: Index Decomposition and Bootstrap Inference,"
Journal of Human Resources,
University of Wisconsin Press, vol. 35(1), pages 51-81.
- Osberg, L & Xu, K, 1997. "International Comparisons of Poverty Intensity : Index Decomposition and Bootstrap Inference," Department of Economics at Dalhousie University working papers archive 97-03, Dalhousie, Department of Economics.
- Parker, Simon C. & Gardner, Sam, 2002. "International income mobility," Economics Letters, Elsevier, vol. 76(2), pages 179-187, July.
- Lipton, Michael & Ravallion, Martin, 1993.
"Poverty and policy,"
Policy Research Working Paper Series
1130, The World Bank.
- Rendtel, Ulrich & Langeheine, Rolf & Berntsen, Roland, 1998. "The Estimation of Poverty Dynamics Using Different Measurements of Household Income," Review of Income and Wealth, International Association for Research in Income and Wealth, vol. 44(1), pages 81-98, March.
- Mills, Jeffrey A & Zandvakili, Sourushe, 1997.
"Statistical Inference via Bootstrapping for Measures of Inequality,"
Journal of Applied Econometrics,
John Wiley & Sons, Ltd., vol. 12(2), pages 133-50, March-Apr.
- Jeffrey A. Mills & Sourushe Zandvakili, 1999. "Statistical Inference via Bootstrapping for Measures of Inequality," Macroeconomics 9902003, EconWPA.
- Birchenall, Javier A., 2001. "Income distribution, human capital and economic growth in Colombia," Journal of Development Economics, Elsevier, vol. 66(1), pages 271-287, October.
- Foster, Andrew D, 1995. "Prices, Credit Markets and Child Growth in Low-Income Rural Areas," Economic Journal, Royal Economic Society, vol. 105(430), pages 551-70, May.
- Morduch, Jonathan, 1999. "Between the State and the Market: Can Informal Insurance Patch the Safety Net?," World Bank Research Observer, World Bank Group, vol. 14(2), pages 187-207, August.
- Ravallion, Martin, 1988. "Expected Poverty under Risk-Induced Welfare Variability," Economic Journal, Royal Economic Society, vol. 98(393), pages 1171-82, December.
- Odd-Helge Fjeldstad & Florida Henjewele & Geoffrey Mwambe & Erasto Ngalewa & Knut Nygaard, 2004. "Local government finances and financial management in Tanzania," CMI Working Papers WP 2004: 7, CMI (Chr. Michelsen Institute), Bergen, Norway.
- World Bank, 2007. "Social Protection in Pakistan : Managing Household Risks and Vulnerability," World Bank Other Operational Studies 7660, The World Bank.
- Nayoung Lee & Geert Ridder & John Strauss, 2010.
"Estimation of Poverty Transition Matrices with Noisy Data,"
Textos para discussÃ£o
576, Department of Economics PUC-Rio (Brazil).
- John Strauss & Nayoung Lee & Geert Ridder, 2010. "Estimation of Poverty Transition Matrices with Noisy Data," Working Papers id:2796, eSocialSciences.
- Odd-Helge Fjeldstad, 2003. "What has trust got to do with it? Non-payment of service charges in local authorities in South Africa," CMI Working Papers WP 2003:12, CMI (Chr. Michelsen Institute), Bergen, Norway.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Robert Sjursen).
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 references are entirely missing, you can add them using this form.
If the full references list an item that is present in RePEc, but the system did not link 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 profile, as there may be some citations waiting for confirmation.
Please note that corrections may take a couple of weeks to filter through the various RePEc services.