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Poverty Dynamics of Households in Rural China

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  • Katsushi S. Imai
  • Jing You

Abstract

type="main" xml:id="obes12044-abs-0001"> The objective of our study is to identify patterns and causes of households' transitions into and out of poverty using the long household panel data on rural China in 1989–2009. We propose a discrete-time multi-spell duration model that not only corrects for unobserved heterogeneity, but also addresses the endogeneity due to dynamic selection associated with household's livelihood strategies. The household choosing farming or out-migration as a main livelihood strategy was more likely to escape from persistent poverty than those taking local non-agricultural employment. The present study emphasizes the central role of agriculture in helping the chronically poor escape from poverty.

Suggested Citation

  • Katsushi S. Imai & Jing You, 2014. "Poverty Dynamics of Households in Rural China," Oxford Bulletin of Economics and Statistics, Department of Economics, University of Oxford, vol. 76(6), pages 898-923, December.
  • Handle: RePEc:bla:obuest:v:76:y:2014:i:6:p:898-923
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    Citations

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    Cited by:

    1. Tingting Li & Hualou Long & Shuangshuang Tu & Yanfei Wang, 2015. "Analysis of Income Inequality Based on Income Mobility for Poverty Alleviation in Rural China," Sustainability, MDPI, Open Access Journal, vol. 7(12), pages 1-17, December.
    2. You, Jing, 2014. "Risk, under-investment in agricultural assets and dynamic asset poverty in rural China," China Economic Review, Elsevier, vol. 29(C), pages 27-45.
    3. Jing You & Katsushi S. Imai & Raghav Gaiha, 2014. "Decoding the Growth-Nutrition Nexus in China: Inequality, Uncertainty and Food Insecurity," Discussion Paper Series DP2014-28, Research Institute for Economics & Business Administration, Kobe University, revised Dec 2014.
    4. You, Jing & Kontoleon, Andreas & Wang, Sangui, 2015. "Identifying a Sustainable Pathway to Household Multi-dimensional Poverty Reduction in Rural China," 2015 Conference, August 9-14, 2015, Milan, Italy 211865, International Association of Agricultural Economists.
    5. Mani, Subha & Mitra, Sophie & Sambamoorthi, Usha, 2016. "Dynamics in Health and Employment: Evidence from Indonesia," IZA Discussion Papers 10256, Institute for the Study of Labor (IZA).
    6. Jing You & Sangui Wang & Laurence Roope, 2014. "Multi-dimensional Intertemporal Poverty in Rural China," CSAE Working Paper Series 2014-36, Centre for the Study of African Economies, University of Oxford.
    7. Katsushi S. Imai & Bilal Malaeb, 2016. "Asia's Rural-urban Disparity in the Context of Growing Inequality," Discussion Paper Series DP2016-29, Research Institute for Economics & Business Administration, Kobe University.
    8. repec:kap:jecinq:v:16:y:2018:i:1:d:10.1007_s10888-017-9352-z is not listed on IDEAS
    9. Zhang, Yumei & Filipski, Mateusz & Chen, Kevin Z. & Diao, Xinshen, 2015. "Who is Poor this Year? Understanding Fluctuations in Poverty Status in Three Chinese Villages," 2015 Conference, August 9-14, 2015, Milan, Italy 212604, International Association of Agricultural Economists.
    10. Yu Chen & Sylvie Démurger, 2014. "Pro-rural policies, income and inequality : Evaluating a cash-for-work program in rural China," Working Papers 1415, Groupe d'Analyse et de Théorie Economique Lyon St-Étienne (GATE Lyon St-Étienne), Université de Lyon.
    11. Zhang, Yumei & Filipski, Mateusz & Chen, Kevin & Diao, Xinshen, 2014. "Poverty Exit and Entry in Poor Villages in China," 2014 Annual Meeting, July 27-29, 2014, Minneapolis, Minnesota 173100, Agricultural and Applied Economics Association.
    12. repec:gam:jsusta:v:7:y:2015:i:12:p:16362-16378:d:60411 is not listed on IDEAS
    13. Raghbendra Jha & Katsushi S. Imai & Raghav Gaiha, 2014. "Poverty nutrition traps," Chapters,in: Handbook on Food, chapter 10, pages 246-259 Edward Elgar Publishing.

    More about this item

    JEL classification:

    • C33 - Mathematical and Quantitative Methods - - Multiple or Simultaneous Equation Models; Multiple Variables - - - Models with Panel Data; Spatio-temporal Models
    • C41 - Mathematical and Quantitative Methods - - Econometric and Statistical Methods: Special Topics - - - Duration Analysis; Optimal Timing Strategies
    • I32 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty - - - Measurement and Analysis of Poverty
    • O15 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Economic Development: Human Resources; Human Development; Income Distribution; Migration

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