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Accounting for Poverty Differences between the United States, Great Britain, and Germany

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  • Martin Biewen
  • Stephen P. Jenkins

Abstract

We propose a framework for comparing the relationship between poverty and personal characteristics across countries (or across years), and use it to compare levels and patterns of relative poverty in the USA, Great Britain and Germany during the 1990s. The higher aggregate poverty rates in the USA and in Britain relative to Germany were mostly accounted for by higher poverty rates conditional on characteristics, which were only partly offset by a more favourable distribution of poverty-relevant characteristics, in particular higher employment rates.

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File URL: http://www.diw.de/documents/publikationen/73/diw_01.c.38573.de/dp311.pdf
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Bibliographic Info

Paper provided by DIW Berlin, German Institute for Economic Research in its series Discussion Papers of DIW Berlin with number 311.

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Length: 29 p.
Date of creation: 2002
Date of revision:
Handle: RePEc:diw:diwwpp:dp311

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Keywords: Poverty; Singh-Maddala Distribution;

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References

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  1. F. Chantreuil & A. Trannoy, 1999. "Inequality decomposition values : the trade-off between marginality and consistency," THEMA Working Papers 99-24, THEMA (THéorie Economique, Modélisation et Applications), Université de Cergy-Pontoise.
  2. Gottschalk, Peter & Danziger, Sheldon, 1985. "A Framework for Evaluating the Effects of Economic Growth and Transfers on Poverty," American Economic Review, American Economic Association, American Economic Association, vol. 75(1), pages 153-61, March.
  3. Jantti, Markus & Danziger, Sheldon, 2000. "Income poverty in advanced countries," Handbook of Income Distribution, Elsevier, in: A.B. Atkinson & F. Bourguignon (ed.), Handbook of Income Distribution, edition 1, volume 1, chapter 6, pages 309-378 Elsevier.
  4. Pudney, Stephen, 1999. " On Some Statistical Methods for Modelling the Incidence of Poverty," Oxford Bulletin of Economics and Statistics, Department of Economics, University of Oxford, vol. 61(3), pages 385-408, August.
  5. repec:ese:iserwp:2001-16 is not listed on IDEAS
  6. McDonald, James B, 1984. "Some Generalized Functions for the Size Distribution of Income," Econometrica, Econometric Society, Econometric Society, vol. 52(3), pages 647-63, May.
  7. Howes, Stephen & Lanjouw, Jean Olson, 1998. "Does Sample Design Matter for Poverty Rate Comparisons?," Review of Income and Wealth, International Association for Research in Income and Wealth, vol. 44(1), pages 99-109, March.
  8. Oaxaca, Ronald, 1973. "Male-Female Wage Differentials in Urban Labor Markets," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 14(3), pages 693-709, October.
  9. repec:ese:iserwp:99-25 is not listed on IDEAS
  10. Singh, S K & Maddala, G S, 1976. "A Function for Size Distribution of Incomes," Econometrica, Econometric Society, Econometric Society, vol. 44(5), pages 963-70, September.
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Cited by:
  1. Francisco Azpitarte, 2008. "Measurement and Identification of Asset-Poor Households: A Cross-National Comparison of Spain and the United Kingdom," Working Papers 105, ECINEQ, Society for the Study of Economic Inequality.
  2. Callan, Tim & Nolan, Brian & Walsh, John R. & Whelan, Christopher T. & Maitre, Bertrand, 2008. "Tackling Low Income and Deprivation: Developing Effective Policies," Research Series, Economic and Social Research Institute (ESRI), Economic and Social Research Institute (ESRI), number RS1.
  3. Francisco Azpitarte, 2011. "Measurement and identification of asset-poor households: a cross-national comparison of Spain and the United Kingdom," Journal of Economic Inequality, Springer, Springer, vol. 9(1), pages 87-110, March.
  4. Callan, Tim & Keeney, Mary J. & Nolan, Brian & Maitre, Bertrand, 2004. "Why is Relative Income Poverty so High in Ireland?," Research Series, Economic and Social Research Institute (ESRI), Economic and Social Research Institute (ESRI), number PRS53.

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