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Vulnerability and poverty dynamics in Vietnam

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  • Raghav Gaiha
  • Katsushi Imai
  • Woojin Kang

Abstract

Drawing upon the Vietnam Household Living Standards Survey (VHLSS) data that cover the whole of Vietnam in 2002 and 2004, ex ante measures of vulnerability are constructed. These are then compared with static indicators of poverty (i.e. the headcount ratio in a particular year). Detailed analyses of the panel data show that (i) in general, vulnerability in 2002 translates into poverty in 2004; (ii) vulnerability of the poor tends to perpetuate their poverty and (iii) sections of the nonpoor but vulnerable slip into poverty. Durable reduction in poverty is conditional on (i) accurate identification of the vulnerable, (ii) their sources of vulnerability and (iii) design of social safety nets that would enable the vulnerable to reduce risks and cope better with rapid integration of markets with the larger global economy.

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Bibliographic Info

Paper provided by Economics, The University of Manchester in its series The School of Economics Discussion Paper Series with number 0708.

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Date of creation: 2007
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Handle: RePEc:man:sespap:0708

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  1. Gaiha, Raghav & Deolalikar, Anil B, 1993. "Persistent, Expected and Innate Poverty: Estimates for Semi-arid Rural South India, 1975-1984," Cambridge Journal of Economics, Oxford University Press, Oxford University Press, vol. 17(4), pages 409-21, December.
  2. Bob Baulch & John Hoddinott, 2000. "Economic mobility and poverty dynamics in developing countries," Journal of Development Studies, Taylor & Francis Journals, vol. 36(6), pages 1-24.
  3. Townsend, R.M., 1991. "Risk and Insurance in Village India," University of Chicago - Economics Research Center 91-3, Chicago - Economics Research Center.
  4. Gamanou, Gisele & Morduch, Jonathan, 2002. "Measuring Vulnerability to Poverty," Working Paper Series UNU-WIDER Research Paper , World Institute for Development Economic Research (UNU-WIDER).
  5. Martin Ravallion & Dominique van de Walle, 2006. "Land Reallocation in an Agrarian Transition," Economic Journal, Royal Economic Society, Royal Economic Society, vol. 116(514), pages 924-942, October.
  6. Ligon, Ethan & Laura Schechter, 2002. "Measuring Vulnerability," Royal Economic Society Annual Conference 2002, Royal Economic Society 128, Royal Economic Society.
  7. Katsushi Imai & Raghav Gaiha, 2002. "Vulnerability, Shocks and Persistence of Poverty - Estimates for Semi-Arid Rural South India," Economics Series Working Papers 128, University of Oxford, Department of Economics.
  8. Raghav Gaiha & Katsushi Imai, 2002. "Rural Public Works and Poverty Alleviation--the case of the employment guarantee scheme in Maharashtra," International Review of Applied Economics, Taylor & Francis Journals, vol. 16(2), pages 131-151.
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Cited by:
  1. Nguyen Viet, Cuong, 2012. "Poverty Dynamics: The Structurally and Stochastically Poor in Vietnam," MPRA Paper 45738, University Library of Munich, Germany.
  2. Emiliano Magrini & Pierluigi Montalbano, 2012. "Trade openness and vulnerability to poverty: Vietnam in the long-run (1992-2008)," Working Paper Series 3512, Department of Economics, University of Sussex.
  3. Raghbendra Jha & Woojin Kang & Hari K. Nagarajan & Kailash C. Pradhan, 2012. "Vulnerability as Expected Poverty in Rural India," ASARC Working Papers 2012-04, The Australian National University, Australia South Asia Research Centre.
  4. Eozenou, Patrick & Madani, Dorsati & Swinkels, Rob, 2013. "Poverty, malnutrition and vulnerability in Mali," Policy Research Working Paper Series 6561, The World Bank.
  5. Celidoni, Martina, 2011. "Vulnerability to poverty: An empirical comparison of alternative measures," MPRA Paper 33002, University Library of Munich, Germany.

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