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Durable goods and poverty measurement

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  • Amendola, Nicola
  • Vecchi, Giovanni

Abstract

The paper focuses on durable goods and their role in the measurement of living standards. The paper reviews the theoretical underpinnings of the methods available to estimate the value of the services flowing from consumer durable goods. It also provides a unified framework that encompasses the acquisition approach, the rental equivalent approach, and the user cost approach. The pros and cons of each method are discussed in the context of poverty and inequality analysis and it is argued that the user cost should receive the highest consideration.

Suggested Citation

  • Amendola, Nicola & Vecchi, Giovanni, 2014. "Durable goods and poverty measurement," Policy Research Working Paper Series 7105, The World Bank.
    • Handle: RePEc:wbk:wbrwps:7105
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    References listed on IDEAS

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    3. Bruce D. Meyer & James X. Sullivan, 2011. "Consumption and Income Poverty Over the Business Cycle," Research in Labor Economics, in: Who Loses in the Downturn? Economic Crisis, Employment and Income Distribution, pages 51-82, Emerald Group Publishing Limited.
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    8. Jukka Jalava & Ilja Kristian Kavonius, 2009. "Measuring The Stock Of Consumer Durables And Its Implications For Euro Area Savings Ratios," Review of Income and Wealth, International Association for Research in Income and Wealth, vol. 55(1), pages 43-56, March.
    9. Brent R. Moulton, 2004. "The system of national accounts for the new economy: What should change?," Review of Income and Wealth, International Association for Research in Income and Wealth, vol. 50(2), pages 261-278, June.
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    Cited by:

    1. Andrea Brandolini & John Micklewright, 2023. "Measuring global poverty," Chapters, in: Jacques Silber (ed.), Research Handbook on Measuring Poverty and Deprivation, chapter 6, pages 60-69, Edward Elgar Publishing.
    2. Andrea Brandolini & John Micklewright, 2020. "Tony Atkinson’s new book, Measuring Poverty Around the World. Some further reflections," Working Papers 518, ECINEQ, Society for the Study of Economic Inequality.
    3. John Chiwuzulum Odozi & Ruth Uwaifo Oyelere, 2023. "Evolution of Inequality in Nigeria: a Tale of Falling Inequality, Rising Poverty, and Regional Heterogeneity," Journal of Economics, Race, and Policy, Springer, vol. 6(4), pages 297-309, December.
    4. Utz Pape & Luca Parisotto, 2019. "Estimating Poverty in a Fragile Context – The High Frequency Survey in South Sudan," HiCN Working Papers 305, Households in Conflict Network.
    5. Marta Dziechciarz–Duda, 2023. "Income Expectations in Sustainability of Subjective Perception of Households’ Wellbeing," Sustainability, MDPI, vol. 15(5), pages 1-15, February.

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    Keywords

    Debt Markets; Economic Theory&Research; Markets and Market Access; Investment and Investment Climate; Access to Markets;
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