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Dynamic multi-level analysis of households' living standards and poverty: evidence from Vietnam

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  • Aassve, Arnstein
  • Arpino, Bruno

Abstract

The paper investigates the role of multi-level structures in poverty analysis based on household level data. We demonstrate how multi-level models can be applied to standard poverty analysis and highlight its usefulness in terms of assessing the extent community characteristics matter in determining poverty status and dynamics. We provide two applications. The first is an example of a growth model that control for characteristics measured at the initial time period, and considers directly to what extent the same characteristics contribute to explain changes in economic wellbeing over time. In the second application we model the determinants of escaping poverty. Both applications use longitudinal data from Vietnam recorded at two points in time during the nineties, a period where Vietnam experienced strong economic growth. We demonstrate that failing to control for multi-level data structures could give incorrect inference about the effect of covariates of interest. We also demonstrate how the multi-level models can be used for regional and community level policy analysis that otherwise is difficult to implement in more standard regression analysis.

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Bibliographic Info

Paper provided by Institute for Social and Economic Research in its series ISER Working Paper Series with number 2007-10.

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Date of creation: 24 May 2007
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Publication status: published
Handle: RePEc:ese:iserwp:2007-10

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Postal: Publications Office, Institute for Social and Economic Research, University of Essex, Wivenhoe Park, Colchester, Essex CO4 3SQ UK
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Web page: https://www.iser.essex.ac.uk/
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Postal: Publications Office, Institute for Social and Economic Research, University of Essex, Wivenhoe Park, Colchester, Essex CO4 3SQ UK
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Cited by:
  1. Gräb, J. & Grimm, M., 2009. "Spatial inequalities explained: evidence from Burkina Faso," ISS Working Papers - General Series 18725, International Institute of Social Studies of Erasmus University Rotterdam (ISS), The Hague.
  2. Arpino, Bruno & Varriale, Roberta, 2009. "Assessing the quality of institutions’ rankings obtained through multilevel linear regression models," MPRA Paper 19873, University Library of Munich, Germany.

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