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A Bayesian Measure of Poverty in the Developing World

Author

Listed:
  • Zhou Xun
  • Michel Lubrano

    (AMSE - Aix-Marseille Sciences Economiques - EHESS - École des hautes études en sciences sociales - AMU - Aix Marseille Université - ECM - École Centrale de Marseille - CNRS - Centre National de la Recherche Scientifique)

Abstract

We propose a new methodology to revise the international poverty line (IPL) after Ravallion et al. (2009) using the same database, but augmented with new variables to take into account social inclusion in the definition of poverty along the lines of Atkinson and Bourguignon (2001). We provide an estimation of the world income distribution and of the corresponding number of poor people in the developing world. Our revised IPL is based on an augmented two‐regime model estimated using a Bayesian approach, which allows us to take into account uncertainty when defining the reference group of countries where the IPL applies. The influence of weighting by population is discussed, as well as the IPL revision proposed in Deaton (2010). We also discuss the impact of using the new 2011 PPP and the recent IPL revision made by the World Bank.
(This abstract was borrowed from another version of this item.)

Suggested Citation

  • Zhou Xun & Michel Lubrano, 2018. "A Bayesian Measure of Poverty in the Developing World," Post-Print hal-01976680, HAL.
  • Handle: RePEc:hal:journl:hal-01976680
    DOI: 10.1111/roiw.12295
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    Cited by:

    1. Michel Lubrano & Zhou Xun, 2023. "The Bayesian approach to poverty measurement," Chapters, in: Jacques Silber (ed.), Research Handbook on Measuring Poverty and Deprivation, chapter 44, pages 475-487, Edward Elgar Publishing.
    2. Sara Mota Cardoso & Aurora A. C. Teixeira, 2020. "The Focus on Poverty in the Most Influential Journals in Economics: A Bibliometric Analysis of the “Blue Ribbon” Journals," Poverty & Public Policy, John Wiley & Sons, vol. 12(1), pages 10-42, March.

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