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Missing poor and income mobility

Author

Listed:
  • Mathieu Lefèbvre
  • Pierre Pestieau
  • Gregory Ponthiere

Abstract

Higher mortality among the poor prevents standard poverty measures from quantifying the actual extent of old-age poverty. Whereas existing attempts to deal with the "missing poor" problem assume the absence of income mobility and assign to the prematurely dead a fictitious income equal to the last income enjoyed, this paper relaxes that assumption in order to study the impact of income mobility on the size of the missing poor bias. We use data on poverty above age 60 in 12 countries from the EU-SILC database, and we compare standard poverty rates with the hypothetical poverty rates that would have prevailed if (i) all individuals, whatever their income, had enjoyed the same survival conditions, and if (ii) all individuals within the same income class had been subject to the same income mobility process. Taking income mobility into account has unequal effects on corrected poverty measures across countries, and, hence, affects international comparisons in terms of old-age poverty.
(This abstract was borrowed from another version of this item.)

Suggested Citation

  • Mathieu Lefèbvre & Pierre Pestieau & Gregory Ponthiere, 2019. "Missing poor and income mobility," LIDAM Reprints CORE 3015, Université catholique de Louvain, Center for Operations Research and Econometrics (CORE).
    • Handle: RePEc:cor:louvrp:3015
    Note: In : Journal of Comparative Economics, 47, 330-366, 2019
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    Cited by:

    1. Grégory Ponthière, 2020. "Pensions and social justice. From standard retirement to reverse retirement," Revue de l'OFCE, Presses de Sciences-Po, vol. 0(6), pages 193-226.
    2. Mathieu Lefebvre & Pierre Pestieau & Gregory Ponthiere, 2023. "Counting the missing poor in pre-industrial societies," Cliometrica, Springer;Cliometric Society (Association Francaise de Cliométrie), vol. 17(1), pages 155-183, January.
    3. Mathieu Lefebvre & Pierre Pestieau & Gregory Ponthiere, 2024. "Missing Poor in the U.S," The Journal of Economic Inequality, Springer;Society for the Study of Economic Inequality, vol. 22(4), pages 865-891, December.
    4. Doux Baraka Kusinza, 2024. "Are American Women more Deprived than Men ?," DeFiPP Working Papers 2404, University of Namur, Development Finance and Public Policies.

    More about this item

    JEL classification:

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

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