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Impact of Household Size and Family Composition on Poverty in Rural India

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  • J.V. Meenakshi

    ()

  • Ranjan Ray

    ()

Abstract

This paper utilises micro data on consumption, family composition and land ownership of nearly 70,000 rural Indian households to analyse poverty in rural India. The study, conducted at the disaggregated level of individual States, examines the impact of household size and composition, caste, gender of household head, and size of land ownership on a household’s poverty status. The introduction of consumption economies of household size and of adult/child consumption relativities affect the poverty estimates but not the State poverty rankings. Scheduled castes/tribes are more vulnerable to poverty than others. In contrast, female headed households display, in many States, higher poverty only in the presence of size economies and adult/child relativities. However, the latter result is not always true. On this and in several other respects, the study finds sharp differences between the constituent States of the Indian Union.

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File URL: https://crawford.anu.edu.au/acde/asarc/pdf/papers/2000/WP2000_02.pdf
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Bibliographic Info

Paper provided by The Australian National University, Australia South Asia Research Centre in its series ASARC Working Papers with number 2000-02.

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Length: 29
Date of creation: Jul 2000
Date of revision:
Handle: RePEc:pas:asarcc:2000-02

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Keywords: Economies of Household Size; Adult Equivalence Scales; Head Count Poverty Rate; Land Deprivation; Female Headed Households; Scheduled Castes and Scheduled Tribes;

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  1. Buhmann, Brigitte, et al, 1988. "Equivalence Scales, Well-Being, Inequality, and Poverty: Sensitivity Estimates across Ten Countries Using the Luxembourg Income Study (LIS) Database," Review of Income and Wealth, International Association for Research in Income and Wealth, vol. 34(2), pages 115-42, June.
  2. Nolan, Brian & Whelan, Christopher T., 1996. "Resources, Deprivation, and Poverty," OUP Catalogue, Oxford University Press, number 9780198287858.
  3. Lancaster, Geoffrey & Ray, Ranjan & Valenzuela, Maria Rebecca, 1999. "A Cross-Country Study of Household Poverty and Inequality on Unit Record Household Budget Data," Economic Development and Cultural Change, University of Chicago Press, vol. 48(1), pages 177-208, October.
  4. Datt, Gaurav & Ravallion, Martin, 1998. "Why Have Some Indian States Done Better Than Others at Reducing Rural Poverty?," Economica, London School of Economics and Political Science, vol. 65(257), pages 17-38, February.
  5. Chaudhuri, Shubham & Ravallion, Martin, 1994. "How well do static indicators identify the chronically poor?," Journal of Public Economics, Elsevier, vol. 53(3), pages 367-394, March.
  6. Lanjouw, Peter & Ravallion, Martin, 1995. "Poverty and Household Size," Economic Journal, Royal Economic Society, vol. 105(433), pages 1415-34, November.
  7. Ringen, Stein, 1991. "Households, Standard of Living, and Inequality," Review of Income and Wealth, International Association for Research in Income and Wealth, vol. 37(1), pages 1-13, March.
  8. Pollak, Robert A & Wales, Terence J, 1979. "Welfare Comparisons and Equivalence Scales," American Economic Review, American Economic Association, vol. 69(2), pages 216-21, May.
  9. Buvinic, Mayra & Gupta, Geeta Rao, 1997. "Female-Headed Households and Female-Maintained Families: Are They Worth Targeting to Reduce Poverty in Developing Countries?," Economic Development and Cultural Change, University of Chicago Press, vol. 45(2), pages 259-80, January.
  10. Nelson, Julie A, 1988. "Household Economies of Scale in Consumption: Theory and Evidence," Econometrica, Econometric Society, vol. 56(6), pages 1301-14, November.
  11. Dreze, Jean & Srinivasan, P. V., 1997. "Widowhood and poverty in rural India: Some inferences from household survey data," Journal of Development Economics, Elsevier, vol. 54(2), pages 217-234, December.
  12. Coulter, Fiona A E & Cowell, Frank A & Jenkins, Stephen P, 1992. "Equivalence Scale Relativities and the Extent of Inequality and Poverty," Economic Journal, Royal Economic Society, vol. 102(414), pages 1067-82, September.
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Citations

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Cited by:
  1. repec:lan:wpaper:4490 is not listed on IDEAS
  2. Ashok Parikh & Kunal Sen, 2006. "Probit with heteroscedasticity: an application to Indian poverty analysis," Applied Economics Letters, Taylor & Francis Journals, vol. 13(11), pages 699-707.
  3. Ankita Mishra & Ranjan Ray, 2009. "Prices, Inequality and Poverty: Methodology and Indian Evidence," Development Research Unit Working Paper Series 27-09, Monash University, Department of Economics.
  4. Ira N. Gang & Myeong-Su Yun & Kunal Sen, 2002. "Caste, Ethnicity and Poverty in Rural India," Departmental Working Papers 200225, Rutgers University, Department of Economics.
  5. Zhong, Funing & Xiang, Jing & Zhu, Jing, 2012. "Impact of demographic dynamics on food consumption — A case study of energy intake in China," China Economic Review, Elsevier, vol. 23(4), pages 1011-1019.
  6. Shonali Pachauri & Daniel Spreng, 2003. "Energy use and energy access in relation to poverty," CEPE Working paper series 03-25, CEPE Center for Energy Policy and Economics, ETH Zurich.
  7. Pachauri, S. & Mueller, A. & Kemmler, A. & Spreng, D., 2004. "On Measuring Energy Poverty in Indian Households," World Development, Elsevier, vol. 32(12), pages 2083-2104, December.
  8. Dil Bahadur Rahut & Maja Micevska Scharf, 2012. "Livelihood diversification strategies in the Himalayas," Australian Journal of Agricultural and Resource Economics, Australian Agricultural and Resource Economics Society, vol. 56(4), pages 558-582, October.
  9. Ira N. Gang & Kunal Sen & Myeong-Su Yun, 2006. "Poverty in Rural India: Ethnicity and Caste," Departmental Working Papers 200634, Rutgers University, Department of Economics.
  10. Bhaumik, Sumon K. & Chakrabarty, Manisha, 2006. "Earnings Inequality in India: Has the Rise of Caste and Religion Based Politics in India Had an Impact?," IZA Discussion Papers 2008, Institute for the Study of Labor (IZA).
  11. repec:lan:wpaper:4795 is not listed on IDEAS
  12. Pal, Sarmistha & Palacios, Robert, 2008. "Understanding Poverty among the Elderly in India: Implications for Social Pension Policy," IZA Discussion Papers 3431, Institute for the Study of Labor (IZA).
  13. Maurice Schiff, 2008. "On the underestimation of migration’s income and poverty impact," Review of Economics of the Household, Springer, vol. 6(3), pages 267-284, September.
  14. Wenefrida Widyanti & Asep Suryahadi & Sudarno Sumarto & Athia Yumna, 2009. "The Relationship between Chronic Poverty and Household Dynamics : Evidence from Indonesia," Microeconomics Working Papers 22554, East Asian Bureau of Economic Research.
  15. G Johnes, 2008. "Early Years Education And Subsequent Schooling In Rural India: An Economic Analysis," Working Papers 596936, Lancaster University Management School, Economics Department.
  16. Ira N. Gang & Kunal Sen & Myeong-Su Yun, 2008. "Poverty In Rural India: Caste And Tribe," Review of Income and Wealth, International Association for Research in Income and Wealth, vol. 54(1), pages 50-70, 03.
  17. Ankita Mishra & Ranjan Ray, 2013. "Multi-Dimensional Deprivation in India During and After the Reforms: Do the Household Expenditure and the Family Health Surveys Present Consistent Evidence?," Social Indicators Research, Springer, vol. 110(2), pages 791-818, January.
  18. Oginni, Ayodeji & Ahonsi, Babatunde & Ukwuije, Francis, 2013. "Are female-headed households typically poorer than male-headed households in Nigeria?," Journal of Behavioral and Experimental Economics (formerly The Journal of Socio-Economics), Elsevier, vol. 45(C), pages 132-137.
  19. repec:lan:wpaper:4361 is not listed on IDEAS
  20. Akanksha Srivastava & Sanjay Mohanty, 2012. "Poverty Among Elderly in India," Social Indicators Research, Springer, vol. 109(3), pages 493-514, December.

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