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Measuring Household Welfare: Short versus long consumption modules

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  • Luisa Natali
  • Marta Moratti
  • UNICEF Innocenti Research Centre

Abstract

The literature review mainly focuses on studies from the 1990s on developing countries. Available evidence seems to indicate that short modules underestimate consumption with respect to longer ones resulting in lower levels of recorded consumption and therefore less accurate estimates and higher poverty rates. However, one of the most complete, recent and authoritative studies in the field (Beegle et al., 2010) finds that short modules may actually result in a smaller downward bias compared to the benchmark than other longer consumption modules.

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Bibliographic Info

Paper provided by UNICEF Innocenti Research Centre in its series Innocenti Working Papers with number inwopa671.

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Length: 26
Date of creation: 2012
Date of revision:
Handle: RePEc:ucf:inwopa:inwopa671

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Related research

Keywords: household consumption; income household; measurement systems; poverty; surveys; welfare economics;

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References

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  1. Martin Browning & Thomas F. Crossley & Guglielmo Weber, 2003. "Asking consumption questions in general purpose surveys," Economic Journal, Royal Economic Society, vol. 113(491), pages F540-F567, November.
  2. Carlo Azzarri & Gero Carletto & Benjamin Davis & Alberto Zezza, 2006. "Monitoring Poverty Without Consumption Data : An Application Using the Albania Panel Survey," Eastern European Economics, M.E. Sharpe, Inc., vol. 44(1), pages 59-82, February.
  3. Anton Korinek & Johan Mistiaen & Martin Ravallion, 2006. "Survey nonresponse and the distribution of income," Journal of Economic Inequality, Springer, vol. 4(1), pages 33-55, April.
  4. Booysen, Frikkie & van der Berg, Servaas & Burger, Ronelle & Maltitz, Michael von & Rand, Gideon du, 2008. "Using an Asset Index to Assess Trends in Poverty in Seven Sub-Saharan African Countries," World Development, Elsevier, vol. 36(6), pages 1113-1130, June.
  5. Mark Montgomery & Michele Gragnolati & Kathleen Burke & Edmundo Paredes, 2000. "Measuring living standards with proxy variables," Demography, Springer, vol. 37(2), pages 155-174, May.
  6. Angus Deaton & Salman Zaidi, 1999. "Guidelines for Constructing Consumption Aggregates For Welfare Analysis," Working Papers 217, Princeton University, Woodrow Wilson School of Public and International Affairs, Research Program in Development Studies..
  7. Beegle, Kathleen & De Weerdt, Joachim & Friedman, Jed & Gibson, John, 2010. "Methods of household consumption measurement through surveys : experimental results from Tanzania," Policy Research Working Paper Series 5501, The World Bank.
  8. Morris, Saul Sutkover & Calogero, Carletto & Hoddinott, John & Christiaensen, Luc J. M., 1999. "Validity of rapid estimates of household wealth and income for health surveys in rural Africa," FCND discussion papers 72, International Food Policy Research Institute (IFPRI).
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