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Mixed fortunes: A study of poverty mobility among small farm households in Chile, 1968-86

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  • Christopher Scott

Abstract

This study is based on a panel sample of small farm households drawn from eight rural communities in Chile interviewed in 1968 and 1986. The incidence and intensity of poverty based on primary income increased over this period. However, after including earnings from the minimum employment programmes and public transfers, both the headcount ratio and squared poverty gap fell markedly between the two surveys. Mobility analysis showed more households moving out of than into poverty. Of those households who became impoverished, around half may have suffered a transitory decline in income in 1986. The other half experienced pauperisation as a result of investing in projects with negative rates of return, investing in the accumulation of human capital by their children, sustaining a large rise in the household's dependency ratio or suffering political discrimination in the labour market. Per capita income was positively related to schooling of the household head (in 1968), land ownership (in 1986) and living in the Central Valley (in both years). Income per head was negatively related to household size (in both years) and to the presence of individuals in the household with physical or mental disabilities (in 1986).

Suggested Citation

  • Christopher Scott, 2000. "Mixed fortunes: A study of poverty mobility among small farm households in Chile, 1968-86," Journal of Development Studies, Taylor & Francis Journals, vol. 36(6), pages 155-180.
  • Handle: RePEc:taf:jdevst:v:36:y:2000:i:6:p:155-180
    DOI: 10.1080/00220380008422658
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    Cited by:

    1. Guillermo Cruces & Quentin Wodon, 2007. "Risk-adjusted poverty in Argentina: measurement and determinants," Journal of Development Studies, Taylor & Francis Journals, vol. 43(7), pages 1189-1214.
    2. Johane Dikgang & Edwin Muchapondwa, 2016. "The Effect of Land Restitution on Poverty Reduction among the Khomani San “Bushmen” in South Africa," South African Journal of Economics, Economic Society of South Africa, vol. 84(1), pages 63-80, March.
    3. Krishna, Anirudh, 2006. "Pathways out of and into poverty in 36 villages of Andhra Pradesh, India," World Development, Elsevier, vol. 34(2), pages 271-288, February.
    4. Jose Cuesta & Hugo Ñopo & Georgina Pizzolitto, 2011. "Using Pseudo‐Panels To Measure Income Mobility In Latin America," Review of Income and Wealth, International Association for Research in Income and Wealth, vol. 57(2), pages 224-246, June.
    5. Naschold, Felix, 2009. "“Poor stays poor” - Household asset poverty traps in rural semi-arid India," 2009 Annual Meeting, July 26-28, 2009, Milwaukee, Wisconsin 49396, Agricultural and Applied Economics Association.
    6. Bronfman, Javier & Floro, Maria, 2014. "How well has the Social Protection Scheme Reduced Vulnerability in Chile?," MPRA Paper 63255, University Library of Munich, Germany.
    7. Hugo Ñopo & Giorgina Pizzolitto & José Cuesta, 2007. "Usando pseudopaneles para medir la movilidad del ingreso en América," Research Department Publications 4558, Inter-American Development Bank, Research Department.
    8. Joseph V. Balagtas & Humnath Bhandari & Ellanie R. Cabrera & Samarendu Mohanty & Mahabub Hossain, 2014. "Did the commodity price spike increase rural poverty? Evidence from a long-run panel in Bangladesh," Agricultural Economics, International Association of Agricultural Economists, vol. 45(3), pages 303-312, May.
    9. Chandra Bahadur Adhikar & Trond Bjorndal, 2014. "Economic Relationship between Access to Land and Rural Poverty in Nepal," Applied Economics Journal, Kasetsart University, Faculty of Economics, Center for Applied Economic Research, vol. 21(1), pages 20-41, June.
    10. repec:dau:papers:123456789/4977 is not listed on IDEAS
    11. Bronfman, Javier, 2014. "Measuring Vulnerability to Poverty in Chile Using the National Socio Economic Characterization Panel Survey for 1996, 2001, 2006," MPRA Paper 62689, University Library of Munich, Germany.
    12. Ayal Kimhi, 2004. "Growth, Inequality and Labor Markets in LDCs: A Survey," CESifo Working Paper Series 1281, CESifo Group Munich.
    13. repec:eee:chieco:v:44:y:2017:i:c:p:79-97 is not listed on IDEAS

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