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Multidimensional poverty and inequality

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This paper examines different approaches to the measurement of multidimensional inequality and poverty. First, it outlines three aspects preliminary to any multidimensional study: the selection of the relevant dimensions; the indicators used to measure them; and the procedures for their weighting. It then considers the counting approach and the axiomatic treatment in poverty measurement. Finally, it reviews the axiomatic approach to inequality analysis. The paper provides a selective review of a rapidly growing theoretical literature with the twofold aim of highlighting areas for future research and offering some guidance on how to use multidimensional methods in empirical and policy-oriented applications.

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  • Rolf Aaberge & Andrea Brandolini, 2014. "Multidimensional poverty and inequality," Discussion Papers 792, Statistics Norway, Research Department.
  • Handle: RePEc:ssb:dispap:792
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    Cited by:

    1. Massimo Baldini & Giulia Mancini & Giovanni Vecchi, 2018. "No country for young people. Poverty and Age in Italy, 1948-2018," Department of Economics 0128, University of Modena and Reggio E., Faculty of Economics "Marco Biagi".
    2. Vincenzo Mauro & Mario Biggeri & Filomena Maggino, 2018. "Measuring and Monitoring Poverty and Well-Being: A New Approach for the Synthesis of Multidimensionality," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 135(1), pages 75-89, January.
    3. Rolf Aaberge & François Bourguignon & Andrea Brandolini & Francisco H. G. Ferreira & Janet C. Gornick & John Hills & Markus Jäntti & Stephen P. Jenkins & Eric Marlier & John Micklewright & Brian Nolan, 2017. "Tony Atkinson and his Legacy," Review of Income and Wealth, International Association for Research in Income and Wealth, vol. 63(3), pages 411-444, September.
    4. Paul Hufe & Ravi Kanbur & Andreas Peichl, 2018. "Measuring Unfair Inequality: Reconciling Equality of Opportunity and Freedom from Poverty," CESifo Working Paper Series 7119, CESifo.
    5. Marling, Tina Gottschalk & Range, Troels Martin & Sudhölter, Peter & Østerdal, Lars Peter, 2018. "Decomposing bivariate dominance for social welfare comparisons," Mathematical Social Sciences, Elsevier, vol. 95(C), pages 1-8.
    6. Koen Decancq, 2017. "Measuring Multidimensional Inequality in the OECD Member Countries with a Distribution-Sensitive Better Life Index," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 131(3), pages 1057-1086, April.
    7. Nora Lustig, 2018. "Measuring the Distribution of Household Income, Consumption and Wealth: State of Play and Measurement Challenges," Working Papers 1801, Tulane University, Department of Economics.
    8. Philipp Poppitz, 2017. "Can subjective data improve inequality measurement? A multidimensional index of economic inequality," Working Papers 446, ECINEQ, Society for the Study of Economic Inequality.
    9. Brian A'Hearn & Nicola Amendola & Giovanni Vecchi, 2016. "On Historical Household Budgets," Rivista di storia economica, Società editrice il Mulino, issue 2, pages 137-176.
    10. Martina Menon & Federico Perali & Eva Sierminska, 2017. "An Efficiency Comparison of Means Testing Tools: Money Metric or Counting Approach?," CHILD Working Papers Series 57 JEL Classification: D1, Centre for Household, Income, Labour and Demographic Economics (CHILD) - CCA.
    11. Giménez Gómez, José M. (José Manuel) & Peris, Josep E. & Solís Baltodano, María José,, 2018. "Distributing the European structural and investment funds from a conflicting claims approach," Working Papers 2072/306977, Universitat Rovira i Virgili, Department of Economics.
    12. MENON Martina & PERALI Federico & SIERMINSKA Eva, 2016. "An Asset-based Indicator of Wellbeing for a Unified Means Testing Tool: Money Metric or Counting Approach?," LISER Working Paper Series 2016-09, LISER.
    13. Charlotte Bartels & Maximilian Stockhausen, 2017. "Children's Opportunities in Germany – An Application Using Multidimensional Measures," German Economic Review, Verein für Socialpolitik, vol. 18(3), pages 327-376, August.
    14. Kranich, Laurence, 2015. "Equal shadow wealth: A new concept of fairness in exchange economies," Mathematical Social Sciences, Elsevier, vol. 76(C), pages 110-117.
    15. Rolf Aaberge & Eugenio Peluso & Henrik Sigstad, 2015. "The dual approach for measuring. Multidimesional deprivation and poverty," Discussion Papers 820, Statistics Norway, Research Department.
    16. Valérie Bérenger, 2017. "Using ordinal variables to measure multidimensional poverty in Egypt and Jordan," The Journal of Economic Inequality, Springer;Society for the Study of Economic Inequality, vol. 15(2), pages 143-173, June.
    17. Rolf Aaberge & François Bourguignon & Andrea Brandolini & Francisco H. G. Ferreira & Janet C. Gornick & John Hills & Markus Jäntti & Stephen P. Jenkins & Eric Marlier & John Micklewright & Brian Nolan, 2017. "Tony Atkinson and his Legacy," Review of Income and Wealth, International Association for Research in Income and Wealth, vol. 63(3), pages 411-444, September.
    18. Lidia Ceriani & Chiara Gigliarano, 2016. "Multidimensional well-being: A Bayesian Networks approach," Working Papers 399, ECINEQ, Society for the Study of Economic Inequality.
    19. Yadira Diaz, 2015. "Differences in needs and multidimensional deprivation measurement," Working Papers 387, ECINEQ, Society for the Study of Economic Inequality.

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    Keywords

    inequality; poverty; deprivation; multidimensional well-being; capabilities; functionings;

    JEL classification:

    • D3 - Microeconomics - - Distribution
    • D63 - Microeconomics - - Welfare Economics - - - Equity, Justice, Inequality, and Other Normative Criteria and Measurement
    • I30 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty - - - General
    • I32 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty - - - Measurement and Analysis of Poverty

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