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A Unified Approach to Measuring Poverty and Inequality--Theory and Practice : Streamlined Analysis with ADePT Software


  • James Foster
  • Suman Seth
  • Michael Lokshin
  • Zurab Sajaia


A Unified Approach to Measuring Poverty and Inequality: Theory and Practice is an introduction to the theory and practice of measuring poverty and inequality, as well as a user's guide for analyzing income or consumption distribution for any standard household dataset using the World Bank's ADePT software. The approach taken here considers income standards as building blocks for basic measurement, then uses them to construct inequality and poverty measures. This unified approach provides advantages in interpreting and contrasting the measures and in understanding the way measures vary over time and space. Several recent initiatives have lowered the cost of accessing household datasets. The ADePT software enables users to analyze microdata from household surveys and other sources and generate print-ready, standardized tables and charts. It can also be used to simulate the impact of economic shocks, cash transfers and other policy instruments on poverty, and inequality. The software automates analysis, helps minimize human errors, and encourages development of new economic analysis methods. Of interest to teachers and students as well as to policy practitioners, A Unified Approach to Measuring Poverty and Inequality will empower researchers to plumb greater depths in searching for regularity in larger and larger datasets. This book should help to enrich discussion and analysis relating to the World Bank's recent effort toward defining new targets and indicators for promoting work on eradicating poverty and enhancing shared prosperity.

Suggested Citation

  • James Foster & Suman Seth & Michael Lokshin & Zurab Sajaia, 2013. "A Unified Approach to Measuring Poverty and Inequality--Theory and Practice : Streamlined Analysis with ADePT Software," World Bank Publications - Books, The World Bank Group, number 13731, December.
  • Handle: RePEc:wbk:wbpubs:13731

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    Cited by:

    1. Orsetta Causa & Alain de Serres & Nicolas Ruiz, 2015. "Can pro-growth policies lift all boats?: An analysis based on household disposable income," OECD Journal: Economic Studies, OECD Publishing, vol. 2015(1), pages 227-268.
    2. Ametoglo, Muriel Eyram Silo & Guo, Ping, 2016. "Inequality, poverty and inclusive growth in TOGO: An Assessment of the Survey Data," MPRA Paper 79705, University Library of Munich, Germany.
    3. Grant J. Cameron & Hai‐Anh H. Dang & Mustafa Dinc & James Foster & Michael M. Lokshin, 2021. "Measuring the Statistical Capacity of Nations," Oxford Bulletin of Economics and Statistics, Department of Economics, University of Oxford, vol. 83(4), pages 870-896, August.
    4. Mateusz Piwowarski & Danuta Miłaszewicz & Małgorzata Łatuszyńska & Mariusz Borawski & Kesra Nermend, 2018. "Application of the Vector Measure Construction Method and Technique for Order Preference by Similarity Ideal Solution for the Analysis of the Dynamics of Changes in the Poverty Levels in the European ," Sustainability, MDPI, vol. 10(8), pages 1-24, August.
    5. Hai‐Anh Dang & Dean Jolliffe & Calogero Carletto, 2019. "Data Gaps, Data Incomparability, And Data Imputation: A Review Of Poverty Measurement Methods For Data‐Scarce Environments," Journal of Economic Surveys, Wiley Blackwell, vol. 33(3), pages 757-797, July.
    6. Sabina Alkire, 2016. "Measures of Human Development: Key Concepts and Properties," OPHI Working Papers ophiwp107.pdf, Queen Elizabeth House, University of Oxford.
    7. Mr. Alexei P Kireyev, 2013. "Inclusive Growth and Inequality in Senegal," IMF Working Papers 2013/215, International Monetary Fund.
    8. Owen Gohori & Peet van der Merwe, 2020. "Towards a Tourism and Community-Development Framework: An African Perspective," Sustainability, MDPI, vol. 12(13), pages 1-35, June.
    9. Eleni Karagiannaki, 2017. "The empirical relationship between income poverty and income inequality in rich and middle income countries," CASE Papers /206, Centre for Analysis of Social Exclusion, LSE.
    10. Hendrik Thiel & Stephan L. Thomsen, 2015. "Individual Poverty Paths and the Stability of Control-Perception," SOEPpapers on Multidisciplinary Panel Data Research 794, DIW Berlin, The German Socio-Economic Panel (SOEP).
    11. Sabina Alkire and James Foster, 2016. "Dimensional and Distributional Contributions to Multidimensional Poverty," OPHI Working Papers ophiwp100_2.pdf, Queen Elizabeth House, University of Oxford.
    12. N. N. Mikheeva & V. G. Basareva, 2021. "Regional Specifics of Poverty in Russia," Studies on Russian Economic Development, Springer, vol. 32(5), pages 499-507, September.
    13. Tony Castleman & James E. Foster & Stephen C. Smith, 2016. "Person Equivalent Headcount Measures of Poverty," International Economic Association Series, in: Kaushik Basu & Joseph E. Stiglitz (ed.), Inequality and Growth: Patterns and Policy, chapter 3, pages 101-130, Palgrave Macmillan.
    14. Maleva, T. & Burdyak, A. & Tyndik, A., 2015. "Middle Classes at Different Stages of Life Course," Journal of the New Economic Association, New Economic Association, vol. 27(3), pages 109-138.
    15. Dilanka S. Dedduwakumara & Luke A. Prendergast & Robert G. Staudte, 2021. "Some confidence intervals and insights for the proportion below the relative poverty line," SN Business & Economics, Springer, vol. 1(10), pages 1-22, October.
    16. Suman Seth & Gaston Yalonetzky, 2016. "Has the world converged? A robust analysis of non-monetary bounded indicators," Working Papers 398, ECINEQ, Society for the Study of Economic Inequality.
    17. Orsetta Causa & Mikkel Hermansen & Nicolas Ruiz & Caroline Klein & Zuzana Smidova, 2016. "Inequality in Denmark through the Looking Glass," OECD Economics Department Working Papers 1341, OECD Publishing.
    18. Małgorzata Latuszynska & Shivan Fate, 2019. "A Hybrid Simulation Approach to Modelling the Impact of Public Interventions on Poverty," European Research Studies Journal, European Research Studies Journal, vol. 0(4), pages 347-363.
    19. Coral del Rio & Olga Alonso-Villar, 2015. "Segregation and social welfare," Working Papers 378, ECINEQ, Society for the Study of Economic Inequality.
    20. Youri Davydov & Francesca Greselin, 2020. "Comparisons Between Poorest and Richest to Measure Inequality," Sociological Methods & Research, , vol. 49(2), pages 526-561, May.
    21. Coral Río & Olga Alonso-Villar, 2018. "Segregation and Social Welfare: A Methodological Proposal with an Application to the U.S," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 137(1), pages 257-280, May.
    22. Maria Livia ŞTEFĂNESCU, 2015. "Analyzing the health status of the population using ordinal data," Computational Methods in Social Sciences (CMSS), "Nicolae Titulescu" University of Bucharest, Faculty of Economic Sciences, vol. 3(1), pages 18-24, June.
    23. Seth,Suman & Yalonetzky,Gaston, 2020. "Assessing Deprivation with an Ordinal Variable : Theory and Application to Sanitation Deprivation in Bangladesh," Policy Research Working Paper Series 9120, The World Bank.
    24. Orsetta Causa & Mikkel Hermansen & Nicolas Ruiz, 2016. "The Distributional Impact of Structural Reforms," OECD Economics Department Working Papers 1342, OECD Publishing.
    25. Basu, Kaushik, 2013. "Shared prosperity and the mitigation of poverty : in practice and in precept," Policy Research Working Paper Series 6700, The World Bank.


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