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Measuring Vulnerability to Poverty

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  • Gisele Kamanou
  • Jonathan Morduch

Abstract

Many argue that poverty is intimately linked with 'vulnerability'. Still, there is no consensus about how to define and measure 'vulnerability'. We review theory and describe strengths and limits of recently proposed measures. We then propose a definition of vulnerability and develop a general empirical framework that combines Monte Carlo and bootstrap statistical techniques. The approach estimates the expected distribution of future expenditures for each household and then calculates vulnerability measures as a function of those distributions.

Suggested Citation

  • Gisele Kamanou & Jonathan Morduch, 2002. "Measuring Vulnerability to Poverty," WIDER Working Paper Series DP2002-58, World Institute for Development Economic Research (UNU-WIDER).
    • Handle: RePEc:unu:wpaper:dp2002-58
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    References listed on IDEAS

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