IDEAS home Printed from
MyIDEAS: Login to save this paper or follow this series

Intensity of Time and Income Interdependent Multidimensional Poverty: Well-Being and Minimum 2DGAP – German Evidence

  • Joachim Merz
  • Tim Rathjen


    (LEUPHANA University Lüneburg,Department of Economic, Behaviour and Law Sciences, Research Institute on Professions (Forschungsinstitut Freie Berufe (FFB)))

Extending the traditional income poverty concept by multidimensional poverty has been of growing interest within the last years. This paper contributes with an analysis of interdependent multidimensional (IMD) poverty intensity of time and income, which in particular restricts social participation. The interdependency of the multiple poverty dimensions under a strong (union approach) and weak focus axiom (compensation approach) are regarded in particular when measuring the intensity of multidimensional poverty. In addition to various poverty gap measures including the multidimensional well-being gap, for the first time we propose a minimum multidimensional poverty gap (2DGAP). To respect Sen’s capability approach with its social participation aspects we define the time dimension as genuine personal leisure time. Based on a CES well-being function and a multidimensional poverty line evaluated by the German population (estimated with the German Socio-Economic Panel) the individual poverty intensity of the active population is analysed for various regimes of multiple poverty. For this purpose the German Time Use Surveys 1991/92 and 2001/02 and its time use diary data are used. Analysing the active population this paper contributes too to the poverty situation of the working poor. All the empirical results, including the microeconometric Heckman type estimation of the IMD poverty intensity (2DGAP) and the IMD poverty risk, indicate the overall importance of the time dimension with its social participation aspect incorporated within an interdependent multidimensional time and income poverty approach. An important dimension would be neglected in the poverty analysis and in targeted poverty policies if time additional to income would is not respected.

If you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.

File URL:
File Function: First version, 2011
Download Restriction: no

Paper provided by Research Institute on Professions (Forschungsinstitut Freie Berufe (FFB)), LEUPHANA University Lüneburg in its series FFB-Discussionpaper with number 92.

in new window

Length: 51 pages
Date of creation: Sep 2011
Date of revision:
Handle: RePEc:leu:wpaper:92
Contact details of provider: Web page:

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.:

as in new window
  1. Esfandiar Maasoumi & Maria Ana Lugo, 2008. "The Information Basis of Multivariate Poverty Assessments," Emory Economics 0804, Department of Economics, Emory University (Atlanta).
  2. Alkire, Sabina & Foster, James, 2011. "Counting and multidimensional poverty measurement," Journal of Public Economics, Elsevier, vol. 95(7), pages 476-487.
  3. Bruno S. Frey, . "Happiness Research: State and Prospects," IEW - Working Papers 192, Institute for Empirical Research in Economics - University of Zurich.
  4. Merz, Joachim & Rathjen, Tim, 2009. "Time and Income Poverty: An Interdependent Multidimensional Poverty Approach with German Time Use Diary Data," IZA Discussion Papers 4337, Institute for the Study of Labor (IZA).
  5. Andrew E. Clark and Andrew J. Oswald, . "Satisfaction and Comparison Income," Economics Discussion Papers 419, University of Essex, Department of Economics.
  6. Joseph Deutsch & Jacques Silber, 2005. "Measuring Multidimensional Poverty: An Empirical Comparison Of Various Approaches," Review of Income and Wealth, International Association for Research in Income and Wealth, vol. 51(1), pages 145-174, 03.
  7. repec:ese:iserwp:2006-40 is not listed on IDEAS
  8. James J. Heckman, 1976. "The Common Structure of Statistical Models of Truncation, Sample Selection and Limited Dependent Variables and a Simple Estimator for Such Models," NBER Chapters, in: Annals of Economic and Social Measurement, Volume 5, number 4, pages 475-492 National Bureau of Economic Research, Inc.
  9. David Madden, 2011. "Health and income poverty in Ireland, 2003–2006," Journal of Economic Inequality, Springer, vol. 9(1), pages 23-33, March.
  10. Bruno S. Frey & Alois Stutzer, 2001. "What Can Economists Learn from Happiness Research?," CESifo Working Paper Series 503, CESifo Group Munich.
  11. Thursby, Jerry G & Lovell, C A Knox, 1978. "An Investigation of the Kmenta Approximation to the CES Function," International Economic Review, Department of Economics, University of Pennsylvania and Osaka University Institute of Social and Economic Research Association, vol. 19(2), pages 363-77, June.
  12. Bourguignon, F. & Chakravarty, S.R., 1998. "The Measurement of Multidimensional Poverty," DELTA Working Papers 98-12, DELTA (Ecole normale supérieure).
  13. Andrew Harvey & Arun Mukhopadhyay, 2007. "When Twenty-Four Hours is not Enough: Time Poverty of Working Parents," Social Indicators Research, Springer, vol. 82(1), pages 57-77, May.
  14. Lars Osberg & Andrew Sharpe, 2010. "The Index of Economic Well-Being," Challenge, M.E. Sharpe, Inc., vol. 53(4), pages 25-42, July.
  15. Freeman, Richard B, 1978. "Job Satisfaction as an Economic Variable," American Economic Review, American Economic Association, vol. 68(2), pages 135-41, May.
  16. Andrew E. Clark & Paul Frijters & Michael A. Shields, 2008. "Relative income, happiness, and utility: An explanation for the Easterlin paradox and other puzzles," Post-Print halshs-00754299, HAL.
  17. Robert Goodin & James Rice & Michael Bittman & Peter Saunders, 2005. "The Time-Pressure Illusion: Discretionary Time vs. Free Time," Social Indicators Research, Springer, vol. 73(1), pages 43-70, 08.
  18. J. Bonke & M. Deding & M. Lausten, 2006. "Time and Money: Substitutes in Real Terms and Complements in Satisfactions," Economics Working Paper Archive wp_451, Levy Economics Institute.
  19. Joachim Merz & Lars Osberg, 2006. "Keeping in Touch - A Benefit of Public Holidays," Working Papers 37, ECINEQ, Society for the Study of Economic Inequality.
  20. Walter Bossert & Satya R. Chakravarty & Conchita D'Ambrosio, 2009. "Multidimensional poverty and material deprivation," Working Papers 129, ECINEQ, Society for the Study of Economic Inequality.
  21. Jenkins, Stephen P. & Osberg, Lars, 2003. "Nobody to Play With? The Implications of Leisure Coordination," IZA Discussion Papers 850, Institute for the Study of Labor (IZA).
  22. Diamond,Peter A., 1994. "On Time," Cambridge Books, Cambridge University Press, number 9780521462891, October.
    • Diamond,Peter A., 2009. "On Time," Cambridge Books, Cambridge University Press, number 9780521119764, October.
  23. Zheng, Buhong, 1997. " Aggregate Poverty Measures," Journal of Economic Surveys, Wiley Blackwell, vol. 11(2), pages 123-62, June.
  24. Jens Bonke & Frederik Gerstoft, 2007. "Stress, time use and gender," electronic International Journal of Time Use Research, Research Institute on Professions (Forschungsinstitut Freie Berufe (FFB)) and The International Association for Time Use Research (IATUR), vol. 4(1), pages 47-68, September.
  25. Maria Ana Lugo, 2008. "Multidimensional Poverty Measures from an Information Theory Perspective," OPHI Working Papers ophiwp011, Queen Elizabeth House, University of Oxford.
  26. Osberg, L. & Sharpe, A., 1998. "An Index of Economic Well-being for Canada," Department of Economics at Dalhousie University working papers archive 98-08, Dalhousie, Department of Economics.
  27. Kuan Xu & Lars Osberg, 2002. "On Sen's Approach to Poverty Measures and Recent Developments," Department of Economics at Dalhousie University working papers archive sensw, Dalhousie, Department of Economics.
  28. Joachim Merz & Tim Rathjen, 2010. "Sind Selbständige zeit- und einkommensarm? Eine Mikroanalyse der Dynamik interdependenter multidimensionaler Armut mit dem Sozio-ökonomischen Panel und den deutschen Zeitbudgeterhebungen," FFB-Discussionpaper 82, Research Institute on Professions (Forschungsinstitut Freie Berufe (FFB)), LEUPHANA University Lüneburg.
  29. Christensen, Laurits R & Jorgenson, Dale W & Lau, Lawrence J, 1973. "Transcendental Logarithmic Production Frontiers," The Review of Economics and Statistics, MIT Press, vol. 55(1), pages 28-45, February.
  30. Gert G. Wagner & Joachim R. Frick & Jürgen Schupp, 2007. "The German Socio-Economic Panel Study (SOEP) – Scope, Evolution and Enhancements," Schmollers Jahrbuch : Journal of Applied Social Science Studies / Zeitschrift für Wirtschafts- und Sozialwissenschaften, Duncker & Humblot, Berlin, vol. 127(1), pages 139-169.
  31. Kai-yuen Tsui, 2002. "Multidimensional poverty indices," Social Choice and Welfare, Springer, vol. 19(1), pages 69-93.
  32. Thon, Dominique, 1979. "On Measuring Poverty," Review of Income and Wealth, International Association for Research in Income and Wealth, vol. 25(4), pages 429-39, December.
  33. Satya R. Chakravarty & Pietro Muliere, 2004. "Welfare indicators: a review and new perspectives. 2. Measurement of poverty," Metron - International Journal of Statistics, Dipartimento di Statistica, Probabilità e Statistiche Applicate - University of Rome, vol. 0(2), pages 247-281.
  34. Jens Bonke & Mette Deding & Mette Lausten, 2009. "Time and Money," Journal of Happiness Studies, Springer, vol. 10(2), pages 113-131, April.
  35. A. Atkinson, 2003. "Multidimensional Deprivation: Contrasting Social Welfare and Counting Approaches," Journal of Economic Inequality, Springer, vol. 1(1), pages 51-65, April.
Full references (including those not matched with items on IDEAS)

This item is featured on the following reading lists or Wikipedia pages:

  1. SOEP based publications

When requesting a correction, please mention this item's handle: RePEc:leu:wpaper:92. 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: (Joachim Merz)

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.

This information is provided to you by IDEAS at the Research Division of the Federal Reserve Bank of St. Louis using RePEc data.