Inequality among the rural poor: A tale of two cities in India and Vietnam
Using the Survey of Living Conditions in Uttar Pradesh and Bihar of India and the second round of the Vietnam Living Standards Survey, this paper examines whether and to what extent rural consumption inequality of the poor differs in the two countries. While these two countries have experienced significant growth since the early 1990s, they have different institutional arrangements. As a result, the reforms that they have undertaken could have different impact on the poor. The Shapley decomposition results suggest that not only is average consumption expenditure per capita higher in rural Vietnam than in rural India, but also the distribution is more equitable. Land ownership and education structure are found to be the most important contributing factors of consumption inequality for the rural poor. However, the importance of these contributing factors differs. Land ownership (age structure) turns out to be the most important factor for India (Vietnam). Education is an important factor common to the poor in both countries. Policies to ensure more equal access to land and education hold the key to address consumption inequality for the poor.
|Date of creation:||2009|
|Contact details of provider:|| Postal: Crawford Building, Lennox Crossing, Building #132, Canberra ACT 2601|
Phone: +61 2 6125 4705
Fax: +61 2 6125 5448
Web page: https://crawford.anu.edu.au/research/papers/
More information through EDIRC
References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Stanislav Kolenikov & Anthony Shorrocks, 2005. "A Decomposition Analysis of Regional Poverty in Russia," Review of Development Economics, Wiley Blackwell, vol. 9(1), pages 25-46, 02.
- Cowell, Frank A & Jenkins, Stephen P, 1995. "How Much Inequality Can We Explain? A Methodology and an Application to the United States," Economic Journal, Royal Economic Society, vol. 105(429), pages 421-430, March.
- Minot, Nicholas & Baulch, Bob, 2002.
"The spatial distribution of poverty in Vietnam and the potential for targeting,"
Policy Research Working Paper Series
2829, The World Bank.
- Minot, Nicholas & Baulch, Bob, 2002. "The spatial distribution of poverty in Vietnam and the potential for targeting," MSSD discussion papers 42, International Food Policy Research Institute (IFPRI).
- Minot, Nicholas & Baulch, Bob, 2002. "The spatial distribution of poverty in Vietnam and the potential for targeting," MTID discussion papers 42, International Food Policy Research Institute (IFPRI).
- Jonathan Morduch & Terry Sicular, 2002. "Rethinking Inequality Decomposition, With Evidence from Rural China," Economic Journal, Royal Economic Society, vol. 112(476), pages 93-106, January.
- Jonathan Morduch & Terry Sicular, 1998. "Rethinking Inequality Decomposition, with Evidence from Rural China," Harvard Institute of Economic Research Working Papers 1831, Harvard - Institute of Economic Research.
- Martin Ravallion & Dominique van de Walle, 2006. "Land Reallocation in an Agrarian Transition," Economic Journal, Royal Economic Society, vol. 116(514), pages 924-942, October.
- Wan, Guanghua, 2004. "Accounting for income inequality in rural China: a regression-based approach," Journal of Comparative Economics, Elsevier, vol. 32(2), pages 348-363, June.
- Vani K. Borooah, 2005. "Caste, Inequality, and Poverty in India," Review of Development Economics, Wiley Blackwell, vol. 9(3), pages 399-414, 08.
- Borooah, Vani K. & Gustafsson, Bjorn & Li, Shi, 2006. "China and India: Income inequality and poverty north and south of the Himalayas," Journal of Asian Economics, Elsevier, vol. 17(5), pages 797-817, November.
- Atkinson, Anthony B., 1970. "On the measurement of inequality," Journal of Economic Theory, Elsevier, vol. 2(3), pages 244-263, September.
- Barry Bosworth & Susan M. Collins, 2008. "Accounting for Growth: Comparing China and India," Journal of Economic Perspectives, American Economic Association, vol. 22(1), pages 45-66, Winter.
- Barry Bosworth & Susan M. Collins, 2007. "Accounting for Growth: Comparing China and India," NBER Working Papers 12943, National Bureau of Economic Research, Inc.
- Subramanian, S. & Jayaraj, D., 2006. "The Distribution of Household Wealth in India," WIDER Working Paper Series 116, World Institute for Development Economic Research (UNU-WIDER). Full references (including those not matched with items on IDEAS)
When requesting a correction, please mention this item's handle: RePEc:idc:wpaper:idec09-04. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Tom Kompas)
If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.
If references are entirely missing, you can add them using this form.
If the full references list an item that is present in RePEc, but the system did not link to it, you can help with this form.
If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your profile, as there may be some citations waiting for confirmation.
Please note that corrections may take a couple of weeks to filter through the various RePEc services.