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Chronic and Transitory Poverty in Pakistan: Evidence from a Longitudinal Household Survey

Author

Listed:
  • G. M. Arif

    (Pakistan Institute of Development Economics, Islamabad)

  • Faiz Bilquees

    (Former joint Director, Pakistan Institute of Development Economics, Islamabad)

Abstract

This paper analyses the incidence of chronic and transitory poverty in Pakistan in both urban and rural settings. The findings are that rural poverty is severer and also chronic as compared to transitory poverty in urban centres. The main factor behind this phenomenon is the homogeneity of the rural set-up which affects the employment and wage levels adversely. On the other hand, in the urban areas, heterogeneous population with diverse occupations provides better employment and wage opportunities. Furthermore, illiteracy, landlessness, lack of ownership of dwellings, and dependency on sharecropping are the main factors accentuating rural poverty. The paper also analyses the zakat element of the safety net strategy. Contrary to the prevailing perception that zakat does not reach the actually poor, it turns out that in fact zakat has become an identification mark for the chronic poor. The findings of this paper have significant implications for the poverty reduction strategy of the Government of Pakistan.

Suggested Citation

  • G. M. Arif & Faiz Bilquees, 2007. "Chronic and Transitory Poverty in Pakistan: Evidence from a Longitudinal Household Survey," The Pakistan Development Review, Pakistan Institute of Development Economics, vol. 46(2), pages 111-127.
  • Handle: RePEc:pid:journl:v:46:y:2007:i:2:p:111-127
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    References listed on IDEAS

    as
    1. Dorosh, Paul A. & Malik, Sohail J., 2006. "Transitions Out of Poverty: Drivers of Real Income Growth for the Poor in Rural Pakistan," 2006 Annual Meeting, August 12-18, 2006, Queensland, Australia 25387, International Association of Agricultural Economists.
    2. Aniceto C. Orbeta, 2006. "Poverty, Vulnerability and Family Size: Evidence from the Philippines," Chapters,in: Poverty Strategies in Asia, chapter 6 Edward Elgar Publishing.
    3. Mohammad Irfan, 2003. "Poverty and Social Safety Nets: A Case Study of Pakistan," MIMAP Technical Paper Series 2003:15, Pakistan Institute of Development Economics.
    4. G. M. Arif & Syed Mubashir Ali & Zafar Mueen Nasir & Nabeela Arshad, 2001. "An Introduction to the 1998-99 Pakistan Socioeconomic Survey (PSES)," MIMAP Technical Paper Series 2001:04, Pakistan Institute of Development Economics.
    5. Sarfraz K. Qureshi & G. M. Arif, 2001. "Profile of Poverty in Pakistan, 1998-99," MIMAP Technical Paper Series 2001:05, Pakistan Institute of Development Economics.
    6. G. M. Arif & Faiz Bilquees, 2006. "An Analysis of Sample Attrition in the PSES Panel Data," MIMAP Technical Paper Series 2006:20, Pakistan Institute of Development Economics.
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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. G. M. Arif & Shujaat Farooq, 2012. "Rural Poverty Dynamics in Pakistan: Evidence from Three Waves of the Panel Survey," Poverty and Social Dynamics Paper Series 2012:02, Pakistan Institute of Development Economics.
    3. repec:spr:soinre:v:134:y:2017:i:1:d:10.1007_s11205-016-1419-x is not listed on IDEAS
    4. Rashid Amjad & G. M. Arif & Usman Mustafa, 2008. "Does the Labor Market Structure Explain Differences in Poverty in Rural Punjab?," Lahore Journal of Economics, Department of Economics, The Lahore School of Economics, vol. 13(Special E), pages 139-162, September.
    5. Saboor, Abdul & Khan, Atta Ullah & Hussain, Abid & Ali, Ikram & Mahmood, Khalid, 2015. "Multidimensional deprivations in Pakistan: Regional variations and temporal shifts," The Quarterly Review of Economics and Finance, Elsevier, vol. 56(C), pages 57-67.
    6. Kurosaki, Takashi, 2011. "Vulnerability of Household Consumption to Village-level Aggregate Shocks in a Developing Country," PRIMCED Discussion Paper Series 8, Institute of Economic Research, Hitotsubashi University.
    7. Gulnaz Hameed & Abdul Saboor & Atta Ullah Khan & Ikram Ali & Mohsin Khan Wazir, 2017. "Impact of Community Development in Poverty Reduction: Reflections of Azad Jammu and Kashmir Community Development Program," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 130(3), pages 1073-1086, February.
    8. Awan, Masood Sarwar & Iqbal, Nasir & Muhammad, Waqas, 2011. "The impact of human capital on urban poverty: The case of Sargodha city," MPRA Paper 31829, University Library of Munich, Germany.
    9. Atta Ullah Khan & Abdul Saboor & Ikram Ali & Wasim Shahid Malik & Khalid Mahmood, 2016. "Urbanization of multidimensional poverty: empirical evidences from Pakistan," Quality & Quantity: International Journal of Methodology, Springer, vol. 50(1), pages 439-469, January.
    10. G. M. Arif & Faiz Bilquees, 2006. "An Analysis of Sample Attrition in the PSES Panel Data," MIMAP Technical Paper Series 2006:20, Pakistan Institute of Development Economics.
    11. Joshi, Niraj Prakash & Maharjan, Keshav Lall & Piya, Luni, 2012. "Poverty dynamics in Far-western Rural Hills of Nepal: Evidences from panel data," 2012 Conference, August 18-24, 2012, Foz do Iguacu, Brazil 125785, International Association of Agricultural Economists.
    12. repec:gam:jsusta:v:7:y:2015:i:12:p:16362-16378:d:60411 is not listed on IDEAS
    13. repec:pid:wpaper:2012:5 is not listed on IDEAS

    More about this item

    Keywords

    Poverty; Chronic Poverty; Household Surveys Longitudinal; Pakistan;

    JEL classification:

    • I3 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty
    • I32 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty - - - Measurement and Analysis of Poverty

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