Relating Severe Poverty and Chronic Poverty
AbstractThe severely poor are very poor since their consumption is far below the absolute poverty line, and the chronically poor are very poor since their consumption persists for long periods below the absolute poverty line. A combination of chronic poverty and severe poverty (CSP) must represent the very worst instance of poverty. Yet the exercise in this paper of asking simple questions about CSP shows large research gaps. Quantified statements on CSP at the country level can be made for just 14 countries, and at the household level in just six countries. This data suggests a positive correlation between severe poverty and chronic poverty, both at the country level and the household level. Understanding the CSP relationship – whether it is strong, where it arises, what causes it – may improve our explanation of observed cross-country variation in the elasticity between macroeconomic growth and poverty reduction, and why within countries, some households take better advantage of opportunities afforded by macroeconomic growth. Some limited data suggests similarity in socioeconomic characteristics of the severe poor and the chronic poor in terms of location, household size, gender, education and economic sector of work. Of concern is that microlongitudinal datasets drop large proportions of their base year samples, and how this affects our understanding of CSP is not well evaluated. On causal mechanisms, evidence suggests that CSP may be caused by parental CSP (i.e. an intergenerational CSP cycle) and in households not previously poor, CSP may be caused by a morbidity cycle.
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
Bibliographic InfoPaper provided by Department of Applied Economics at Universitat Autonoma of Barcelona in its series Working Papers with number wpdea0307.
Length: 61 pages
Date of creation: Jun 2003
Date of revision:
Contact details of provider:
Postal: Campus Bellaterra. 08193 Bellaterra.
Phone: 34-93 581 1680
Fax: 34-93 581 2292
Web page: http://www.uab.cat/departament/economia-aplicada/
More information through EDIRC
This paper has been announced in the following NEP Reports:
- NEP-ALL-2004-06-13 (All new papers)
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Dwayne Benjamin & Loren Brandt & John Giles, 2004.
"The Evolution of Income Inequality in Rural China,"
William Davidson Institute Working Papers Series
2004-654, William Davidson Institute at the University of Michigan.
- Gibson, John & Huang, Jikun & Rozelle, Scott, 2001.
"Improving Estimates Of Inequality And Poverty From Urban China'S Household Income And Expenditure Survey,"
11989, University of California, Davis, Department of Agricultural and Resource Economics.
- John Gibson & Jikun Huang & Scott Rozelle, 2003. "Improving Estimates of Inequality and Poverty from Urban China's Household Income and Expenditure Survey," Review of Income and Wealth, International Association for Research in Income and Wealth, vol. 49(1), pages 53-68, 03.
- John Gibson & Jikun Huang & Scott Rozelle, 2002. "Improving Estimates of Inequality and Poverty From Urban China’s Household Income and Expenditure Survey," Working Papers in Economics 02/01, University of Waikato, Department of Economics.
- Lokshin Michael & Ravallion Martin, 2004. "Household Income Dynamics in Two Transition Economies," Studies in Nonlinear Dynamics & Econometrics, De Gruyter, vol. 8(3), pages 1-33, September.
- Christiaan Grootaert & Ravi Kanbur & Gi-Taik Oh, 1997. "The dynamics of welfare gains and losses: An African case study," Journal of Development Studies, Taylor & Francis Journals, vol. 33(5), pages 635-657.
- Frankenberg, E. & Thomas, D. & Beegle, K., 1999.
"The Real Costs of Indonesia's Economic Crisis: Preliminary Findings from the Indonesia Family Life Surveys,"
99-04, RAND - Labor and Population Program.
- Elizabeth Frankenberg & Duncan Thomas & Kathleen Beegle, 1999. "The Real Costs of Indonesian Economic Crisis: Preliminary Findings from the Indonesia Family Life Surveys," Working Papers 99-04, RAND Corporation Publications Department.
- Krishnan, Pramila, 1996.
"Family Background, Education and Employment in Urban Ethiopia,"
Oxford Bulletin of Economics and Statistics,
Department of Economics, University of Oxford, vol. 58(1), pages 167-83, February.
- Pramila Krishnan, 1994. "Family background, education and employment in urban Ethiopia," CSAE Working Paper Series 1994-08, Centre for the Study of African Economies, University of Oxford.
- Alemayehu Geda & Niek de Jong & Mwangi S. Kimenyi & Germano Mwabu, 2005. "Determinants of Poverty in Kenya: A Household Level Analysis," Working papers 2005-44, University of Connecticut, Department of Economics.
- Lanjouw, Peter & Stern, Nicholas, 1991. "Poverty in Palanpur," World Bank Economic Review, World Bank Group, vol. 5(1), pages 23-55, January.
- Gaiha, Raghav, 1988. "Income Mobility in Rural India," Economic Development and Cultural Change, University of Chicago Press, vol. 36(2), pages 279-302, January.
- Neil McCulloch & Bob Baulch, 2000. "Simulating the Impact of Policy upon Chronic and Transitory Poverty in Rural Pakistan," Econometrics 0004003, EconWPA.
- Geda, A. & de Jong, N. & Mwabu, G. & Kimenyi, M.S., 2001. "Determinants of poverty in Kenya : a household level analysis," ISS Working Papers - General Series 19095, International Institute of Social Studies of Erasmus University Rotterdam (ISS), The Hague.
- Glewwe, P. & Hall, G., 1995. "Who is Most Vulnerable to Macroeconomic Shocks? Hypotheses Tests Using Panel Data from Peru," Papers 117, World Bank - Living Standards Measurement.
- Trudy Owens & John Hoddinott, 1999.
"Investing in development or investing in relief: Quantifying the poverty tradeoffs using Zimbabwe household panel data,"
CSAE Working Paper Series
1999-04, Centre for the Study of African Economies, University of Oxford.
- Trudy Owens & John Hoddinott, 1998. "Investing in development or investing in relief: quantifying the poverty tradeoffs using Zimbabwe household panel data," Economics Series Working Papers WPS/1999-04, University of Oxford, Department of Economics.
- Neil McCulloch & Bob Baulch, 2000. "Simulating the impact of policy upon chronic and transitory poverty in rural Pakistan," Journal of Development Studies, Taylor & Francis Journals, vol. 36(6), pages 100-130.
- Gibson, John, 2001. "Measuring chronic poverty without a panel," Journal of Development Economics, Elsevier, vol. 65(2), pages 243-266, August.
- Madhura Swaminathan, 1997. "The determinants of earnings among low-income workers in Bombay: An analysis of panel data," Journal of Development Studies, Taylor & Francis Journals, vol. 33(4), pages 535-551.
- Jalan, Jyotsna & Ravallion, Martin, 1998. "Transient Poverty in Postreform Rural China," Journal of Comparative Economics, Elsevier, vol. 26(2), pages 338-357, June.
- Jyotsna Jalan & Martin Ravallion, 2000. "Is transient poverty different? Evidence for rural China," Journal of Development Studies, Taylor & Francis Journals, vol. 36(6), pages 82-99.
- Christophe Muller, 1997.
"Transient seasonal and chronic poverty of peasants: Evidence from Rwanda,"
CSAE Working Paper Series
1997-08, Centre for the Study of African Economies, University of Oxford.
- Christophe Muller, 1997. "Transient seasonal and chronic poverty of peasants: evidence from Rwanda," Economics Series Working Papers WPS/1997-08, University of Oxford, Department of Economics.
- Swaminathan, Madhura, 1991. "Measuring Mobility in Wealth: Some Estimates from a South Indian Village," Oxford Bulletin of Economics and Statistics, Department of Economics, University of Oxford, vol. 53(2), pages 171-83, May.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Miquel Colobran).
If references are entirely missing, you can add them using this form.