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Poverty and its many dimensions: The role of income as an indicator

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  • Caterina Ruggeri Laderchi

Abstract

In this paper we analyse the choice of the dimension in which poverty is to be measured by reviewing some implications arising from the debate on the concept of welfare. By discussing Sen's capability approach, in particular, it is suggested that income or consumption are not necessarily the only indicators of interest in a poverty analysis. We then explore how comprehensive a picture of poverty can be gained by focusing on an income-based measure, using Chilean data from 1992. We analyse the role of income both as having a direct impact on a set of indicators of well-being and as proxying the relevant factors affecting them. In both cases the link is found to be weak. This suggests that poverty analysis is highly conditional on the indicators chosen and that the approach should be kept as broad as possible in order to capture more fully the multidimensional nature of such a complex phenomenon.

Suggested Citation

  • Caterina Ruggeri Laderchi, 1997. "Poverty and its many dimensions: The role of income as an indicator," Oxford Development Studies, Taylor & Francis Journals, vol. 25(3), pages 345-360.
  • Handle: RePEc:taf:oxdevs:v:25:y:1997:i:3:p:345-360
    DOI: 10.1080/13600819708424139
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    Cited by:

    1. Mozaffar Qizilbash, 2002. "A note on the measurement of poverty and vulnerability in the South African context," Journal of International Development, John Wiley & Sons, Ltd., vol. 14(6), pages 757-772.
    2. Wiebke Kuklys & Ingrid Robeyns, 2004. "Sens's Capability Approach to Welfare Economics," Papers on Strategic Interaction 2004-03, Max Planck Institute of Economics, Strategic Interaction Group.
    3. Sabina Alkire, 2011. "Multidimensional Poverty and its Discontents," OPHI Working Papers ophiwp046, Queen Elizabeth House, University of Oxford.
    4. Robyn von Maltzahn & Kevin Durrheim, 2008. "Is poverty multidimensional? A comparison of income and asset based measures in five Southern African countries," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 86(1), pages 149-162, March.
    5. Milenka Ocampo & Carlos Foronda Rojas, 2007. "Estudio de la calidad de vida en Bolivia: Metodología y medición," Investigación & Desarrollo 0207, Universidad Privada Boliviana, revised Mar 2007.
    6. Núñez Velázquez, José Javier, 2009. "Estado actual y nuevas aproximaciones a la medición de la pobreza/Current Status and New Approaches to the Measurement of Poverty," Estudios de Economía Aplicada, Estudios de Economía Aplicada, vol. 27, pages 325-346, Agosto.
    7. Bigsten, Arne & Shimeles, Abebe, 2004. "Prospects for 'Pro-Poor' Growth in Africa," WIDER Working Paper Series 042, World Institute for Development Economic Research (UNU-WIDER).
    8. Kuklys, W. & Robeyns, I., 2004. "Sen’s Capability Approach to Welfare Economics," Cambridge Working Papers in Economics 0415, Faculty of Economics, University of Cambridge.
    9. Paul Ningaye, 2011. "Ethno-cultural diversity and multidimensional poverty differential in Cameroon," International Journal of Development Issues, Emerald Group Publishing, vol. 10(2), pages 123-140, July.
    10. David A. Clark, 2005. "The Capability Approach: Its Development, Critiques and Recent Advances," Economics Series Working Papers GPRG-WPS-032, University of Oxford, Department of Economics.
    11. Luis Fernando Gamboa & Jose Alberto Guerra & Andrés Fernando Casas & Nohora Forero, 2005. "Cambios en calidad de vida en Colombia durante 1997-2003: otra aproximación," BORRADORES DE INVESTIGACIÓN 002087, UNIVERSIDAD DEL ROSARIO.
    12. Keetie Roelen & Geranda Notten, 2011. "The Breadth of Child Poverty in Europe: An investigation into overlap and accumulation of deprivations," Papers inwopa636, Innocenti Working Papers.
    13. Jean-Pierre Lachaud, 2001. "Modélisation des déterminants de la mortalité des enfants et pauvreté aux Comores," Documents de travail 53, Groupe d'Economie du Développement de l'Université Montesquieu Bordeaux IV.
    14. Bajmócy, Zoltán & Málovics, György & Juhász, Judit & Gébert, Judit, 2015. "Szegénység, képességek, lehetőségek. Szegénységkezelési szempontok Amartya Sen elméletének tükrében
      [A framework for poverty reduction based on the capability approach]
      ," Közgazdasági Szemle (Economic Review - monthly of the Hungarian Academy of Sciences), Közgazdasági Szemle Alapítvány (Economic Review Foundation), vol. 0(5), pages 544-564.
    15. Ruhi Saith, "undated". "Capabilities: the Concept and its Operationalisation," QEH Working Papers qehwps66, Queen Elizabeth House, University of Oxford.
    16. Geranda Notten & Keetie Roelen, 2010. "Cross-national comparison of monetary and multidimensional child poverty in the European Union: puzzling with the few pieces that the EUSILC provides," Brooks World Poverty Institute Working Paper Series 13510, BWPI, The University of Manchester.
    17. Caterina Ruggeri Laderchi & Ruhi Saith & Frances Stewart, 2003. "Does it Matter that we do not Agree on the Definition of Poverty? A Comparison of Four Approaches," Oxford Development Studies, Taylor & Francis Journals, vol. 31(3), pages 243-274.

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