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Asset-Based Measurement of Poverty

Author

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  • Silvia Magri
  • Timothy Smeeding
  • Andrea Brandolini

Abstract

Poverty is generally defined as income or expenditure insufficiency, but the economic condition of a household also depends on its real and financial asset holdings. This paper investigates measures of poverty that rely on indicators of household net worth. We review and assess two main approaches followed in the literature: income-net worth measures and assetpoverty. We provide fresh cross-national evidence based on data from the Luxembourg Wealth Study.

Suggested Citation

  • Silvia Magri & Timothy Smeeding & Andrea Brandolini, 2010. "Asset-Based Measurement of Poverty," LWS Working papers 10, LIS Cross-National Data Center in Luxembourg.
    • Handle: RePEc:lis:lwswps:10
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    More about this item

    Keywords

    poverty; vulnerability; income; net worth;
    All these keywords.

    JEL classification:

    • D31 - Microeconomics - - Distribution - - - Personal Income and Wealth Distribution
    • I32 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty - - - Measurement and Analysis of Poverty

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