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Understanding the Implications of Choice of Deprivation Index for Measuring Consistent Poverty in Ireland

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  • Christopher T. Whelan

    (Economic and Social Research Institute (ESRI))

Abstract

In this paper we make use of the Irish component of the European Union Community Statistics on Income and Living Conditions (EU-SILC) survey for 2004 in order to develop a measure of consistent poverty that overcomes some of the difficulties associated with the original indicators employed as targets in the Irish National Anti-Poverty Strategy. Our analysis leads us to propose a set of economic strain items that covers a broader range than the original basic deprivation set and provides a more reliable and valid measure Consistent poverty measures incorporating the revised measure of economic strain and adopting a threshold of two or more items provide similar estimates of levels of poverty to the original measure. However, the new measure is more strongly associated with, respectively, current income, surrogates for permanent income and subjective economic pressures. Furthermore, by constructing a consistent poverty typology we are able to demonstrate that when we contrast those defined as poor when employing the new eleven-item index but not the eight-item one with those for whom the opposite is true the former display a multidimensional deprivation profile that is substantially less favourable. The accumulated evidence supports the view that the revised consistent poverty measures, which combine a threshold of two or more items on the eleven-item EU-SILC11 index with income poverty, identifies those exposed to generalised deprivation arising from lack of resources in a manner consistent with their use as targets in the National Anti-Poverty Strategy.

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File URL: http://www.esri.ie/UserFiles/publications/20070221102126/WP181.pdf
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Bibliographic Info

Paper provided by Economic and Social Research Institute (ESRI) in its series Papers with number WP181.

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Length: 25 pages
Date of creation: Feb 2007
Date of revision:
Handle: RePEc:esr:wpaper:wp181

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References

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  1. Susan E. Mayer & Christopher Jencks, 1989. "Poverty and the Distribution of Material Hardship," Journal of Human Resources, University of Wisconsin Press, vol. 24(1), pages 88-114.
  2. Jesus Perez-Mayo, 2005. "Identifying deprivation profiles in Spain: a new approach," Applied Economics, Taylor & Francis Journals, vol. 37(8), pages 943-955.
  3. Nolan, Brian & Whelan, Christopher T., 1996. "Resources, Deprivation, and Poverty," OUP Catalogue, Oxford University Press, number 9780198287858, October.
  4. Christopher T. Whelan & Bertrand MaÎtre, 2006. "Measuring Material Deprivation with EU-SILC: Lessons from the Irish Survey," Papers WP172, Economic and Social Research Institute (ESRI).
  5. Christopher T. Whelan & Bertrand MaÎtre, 2006. "Levels and Patterns of Material Deprivation in Ireland: After the 'Celtic Tiger'," Papers WP171, Economic and Social Research Institute (ESRI).
  6. Christopher Whelan & Bertrand Maître, 2007. "Income, deprivation and economic stress in the enlarged European Union," Social Indicators Research, Springer, vol. 83(2), pages 309-329, September.
  7. Tim Callan & Brian Nolan & Christopher Whelan, 1991. "Resources, Deprivation and the Measurement of Poverty. Published in Journal of Social Policy, 1993, Vol 22 No 2," Papers WP021, Economic and Social Research Institute (ESRI).
  8. Maitre, Bertrand & Nolan, Brian & Whelan, Christopher T., 2006. "Reconfiguring the Measurement of Deprivation and Consistent Poverty in Ireland," Research Series, Economic and Social Research Institute (ESRI), number PRS58.
  9. Christopher T. Whelan & Bertrand Maître, 2005. "Income, Deprivation and Economic Strain in the Enlarged European Union," Papers WP164, Economic and Social Research Institute (ESRI).
  10. Whelan, Christopher T. & Maitre, Bertrand & Nolan, Brian, 2007. "Multiple Deprivation and Multiple Disadvantage in Ireland: An Analysis of EU-SILC," Research Series, Economic and Social Research Institute (ESRI), number PRS61.
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Cited by:
  1. Helen Russell & Bertrand Maître & Christopher T. Whelan, 2011. "Economic Vulnerability and Severity of Debt Problems: An Analysis of the Irish EU-SILC 2008," Working Papers 201113 Keywords : poverty, Geary Institute, University College Dublin.
  2. Whelan, Christopher T. & Maitre, Bertrand, 2008. "Poverty in Ireland in Comparative European Perspective," Papers WP265, Economic and Social Research Institute (ESRI).
  3. Christopher T. Whelan & Bertrand Maitre, 2011. "Identifying Childhood Deprivation: How Well do National Indicators of Poverty and Social Exclusion in Ireland Perform?," Working Papers 201121, Geary Institute, University College Dublin.
  4. Manuela Coromaldi & Mariangela Zoli, 2012. "Deriving Multidimensional Poverty Indicators: Methodological Issues and an Empirical Analysis for Italy," Social Indicators Research, Springer, vol. 107(1), pages 37-54, May.
  5. Maître, Bertrand & Whelan, Christopher T., 2009. "Poverty and Deprivation in Ireland in Comparative Perspective," Research Series, Economic and Social Research Institute (ESRI), number RS11.
  6. Christopher T. Whelan & Bertrand Maitre, 2008. "'New' and 'Old' Social Risks: Life Cycle and Social Class Perspectives on Social Exclusion in Ireland," Papers WP226, Economic and Social Research Institute (ESRI).

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