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An Econometric Approach to the Measurement of Poverty

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  • Desai, Meghnad
  • Shah, Anup

Abstract

This paper presents a method for specifying and measuring poverty d efined as relative deprivation. The authors base their measure of an individual's poverty on the distance between his/her consumption experience and the social norm. Consumption experience is defined in terms of events, and the modal frequency of an event in the community defines the norm. Aggregation over events is made to capture the objective, as well as subjective, nature of deprivation. The authors' measure is related to that proposed by Peter Townsend and econometri c estimation is carried out using the Townsend data. Income is found to be neither the sole nor the most important indicator of deprivation. Copyright 1988 by Royal Economic Society.

Suggested Citation

  • Desai, Meghnad & Shah, Anup, 1988. "An Econometric Approach to the Measurement of Poverty," Oxford Economic Papers, Oxford University Press, vol. 40(3), pages 505-522, September.
  • Handle: RePEc:oup:oxecpp:v:40:y:1988:i:3:p:505-22
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    References listed on IDEAS

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    1. Ermisch, John & Ogawa, Naohiro (ed.), 1994. "The Family, the Market, and the State in Ageing Societies," OUP Catalogue, Oxford University Press, number 9780198288183.
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    10. Ariza, Alfredo & De la Rica Goiricelaya, Sara & Ugidos Olazabal, Arantza, 2003. "The effect of flexibility in working hours on fertility: A comparative analysis of selected european countries," DFAEII Working Papers 2003-08, University of the Basque Country - Department of Foundations of Economic Analysis II.
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