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Poverty persistence in Britain: A multivariate analysis using the BHPS, 1991–1997

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  • Francesco Devicienti

Abstract

This paper uses longitudinal data from the BHPS, Waves 1–7, to document low-income dynamics for individuals living in Britain in 1990s. Poverty entry and exit hazard rates are estimated and used to calculate the distribution of time spent poor over a six-year period. The results underline the importance of accounting for individuals' repeated spells of poverty when measuring poverty persistence. Using discrete-time proprotional hazard rate models, the paper then seeks to ‘explain’ and forecast the observed chances of exit/entering poverty and the distribution of time spent in poverty for individuals with selected characteristics. The socio-economic correlates of the observed poverty patterns are investigated, including the relative importance of both household and individual characteristics. Copyright Springer-Verlag 2002

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  • Francesco Devicienti, 2002. "Poverty persistence in Britain: A multivariate analysis using the BHPS, 1991–1997," Journal of Economics, Springer, vol. 77(1), pages 307-340, December.
    • Handle: RePEc:kap:jeczfn:v:77:y:2002:i:1:p:307-340
    DOI: 10.1007/BF03052509
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    More about this item

    Keywords

    Poverty Dynamics; Poverty Persistence; Multiple Spells; Hazard Rate Models; I32; I31;
    All these keywords.

    JEL classification:

    • I32 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty - - - Measurement and Analysis of Poverty
    • I31 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty - - - General Welfare, Well-Being

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