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Measuring Household Welfare: Short versus long consumption modules

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  • Luisa Natali
  • Marta Moratti

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.

Suggested Citation

  • Luisa Natali & Marta Moratti, 2012. "Measuring Household Welfare: Short versus long consumption modules," Papers inwopa671, Innocenti Working Papers.
  • Handle: RePEc:ucf:inwopa:inwopa671
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    References listed on IDEAS

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    1. Carlo Azzarri & Gero Carletto & Benjamin Davis & Alberto Zezza, 2006. "Monitoring Poverty Without Consumption Data : An Application Using the Albania Panel Survey," Eastern European Economics, Taylor & Francis Journals, vol. 44(1), pages 59-82, February.
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    8. Deon Filmer & Lant Pritchett, 2001. "Estimating Wealth Effects Without Expenditure Data—Or Tears: An Application To Educational Enrollments In States Of India," Demography, Springer;Population Association of America (PAA), vol. 38(1), pages 115-132, February.
    9. Patrick D. Mullen, 2006. "Measuring Socio-Economic Patterns in a Chronic Conflict Situation: Rapid Assessments and a Household Survey in Southern Sudan," Journal of African Economies, Centre for the Study of African Economies, vol. 15(3), pages 470-503, September.
    10. Margaret Grosh & Paul Glewwe, 2000. "Designing Household Survey Questionnaires for Developing Countries," World Bank Publications - Books, The World Bank Group, number 25338, December.
    11. Menno Pradhan, 2001. "Welfare Analysis with a Proxy Consumption Measure – Evidence from a Repeated Experiment in Indonesia," Tinbergen Institute Discussion Papers 01-092/2, Tinbergen Institute.
    12. David E. Sahn & David Stifel, 2003. "Exploring Alternative Measures of Welfare in the Absence of Expenditure Data," Review of Income and Wealth, International Association for Research in Income and Wealth, vol. 49(4), pages 463-489, December.
    13. Deon Filmer & Lant Pritchett, 1999. "The Effect of Household Wealth on Educational Attainment: Evidence from 35 Countries," Population and Development Review, The Population Council, Inc., vol. 25(1), pages 85-120, March.
    14. Mark Montgomery & Michele Gragnolati & Kathleen Burke & Edmundo Paredes, 2000. "Measuring living standards with proxy variables," Demography, Springer;Population Association of America (PAA), vol. 37(2), pages 155-174, May.
    15. Anton Korinek & Johan Mistiaen & Martin Ravallion, 2006. "Survey nonresponse and the distribution of income," The Journal of Economic Inequality, Springer;Society for the Study of Economic Inequality, vol. 4(1), pages 33-55, April.
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    Cited by:

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    3. Pécastaing, Nicolas & Dávalos, Jorge & Inga, Andy, 2018. "The effect of Peru's CDM investments on households’ welfare: An econometric approach," Energy Policy, Elsevier, vol. 123(C), pages 198-207.
    4. Singh Tomar, Arun, 2021. "Sustainable Development Goals: An Economic and Social Perspective," MPRA Paper 116597, University Library of Munich, Germany.
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    6. Tesfaye, Wondimagegn & Tirivayi, Nyasha, 2018. "The impacts of postharvest storage innovations on food security and welfare in Ethiopia," Food Policy, Elsevier, vol. 75(C), pages 52-67.

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    More about this item

    Keywords

    household consumption; income household; measurement systems; poverty; surveys; welfare economics;
    All these keywords.

    JEL classification:

    • C81 - Mathematical and Quantitative Methods - - Data Collection and Data Estimation Methodology; Computer Programs - - - Methodology for Collecting, Estimating, and Organizing Microeconomic Data; Data Access
    • C82 - Mathematical and Quantitative Methods - - Data Collection and Data Estimation Methodology; Computer Programs - - - Methodology for Collecting, Estimating, and Organizing Macroeconomic Data; Data Access
    • D60 - Microeconomics - - Welfare Economics - - - General

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