The Socioeconomic Consequences of Privatization: An Empirical Analysis for Europe

This paper analyses the dynamics of poverty in Italy and compares it with that in France, Spain and the UK. For this purpose, we use transition matrices of entry and exit poverty rates and quantify true state dependence through econometric techniques. The analysis exploits the longitudinal component of EU-SILC for the period 2009–2012. Estimation of dynamic random effects probit models shows that, in all countries, after controlling for individual heterogeneity and initial conditions, there is evidence of true state dependence. In comparative terms, when not accounting for regional disparities within countries, the degree of poverty persistence is highest in Italy and lowest in the UK. If regional effects are considered, the degree of poverty persistence in Italy is of the same order of magnitude as in France and Spain, but higher than in the UK. Our findings suggest that unlike other countries, in Italy regional disparities play an important role in explaining poverty state dependence.     

How to Reduce the Impact of Equivalence Scales on Poverty Measurement: Evidence from Turkey

The main aim of the paper is to contribute to the poverty measurement literature by demonstrating a method to reduce the impact of equivalence scales in poverty measurement. This is accomplished by choosing the most appropriate reference household type. The results showed that one adult household is certainly not suitable for being the reference household type. When one adult household is set as the reference, in the range of no equivalence scale and per capita equivalence scale, poverty head count ratio changes from 1 to 48 %, showing the huge effect of the equivalence scale choice. Also the analyses at household size level showed that one adult household type is not convenient to be the reference household type. On the other hand, no clear distinction could be made between central household types, but the importance of choosing a household type close to the center was demonstrated for Turkish data.     

Measuring Child Poverty in Hong Kong: Sensitivity to the Choice of Equivalence Scale

In September 2013, the Government of the Hong Kong Special Administrative Region established Hong Kong’s first official poverty line. The new poverty line is used as a major yardstick in social welfare policy formulation and in the allocation of public resources aimed at combating poverty; despite its importance, however, its robustness has not been examined. Using data from the 2011 Population Census, we examined the robustness of the official poverty line in measuring child poverty in Hong Kong through assessing the sensitivity of child poverty measures to the choice of different equivalence scales. The results show that the child poverty profile in Hong Kong is generally not sensitive to the choice of equivalence scale and that the official poverty line correctly identifies those children who live in poverty. Rates of child poverty among boys and girls of different ages, with different family backgrounds and living in households with different compositions, were calculated and ranked using different equivalence scales; these rankings were found to be very similar to those yielded by the official poverty measure. Thus, the choice of adult equivalence scale does not favour any subgroup. We also examined the child poverty profile in Hong Kong based on the official poverty measure and with our 2011 census data. We found that the children in our sample were more likely than the adults to live in poverty household; that more than half of the children who lived in poverty belonged to working poor families; and that children living in public housing were particularly likely to suffer from severe poverty. In light of these findings, we urge the government to prioritise taking measures aimed at lifting children out of poverty.     

The value of symmetric and asymmetric indices of segregation constructed from MCD data

People studying rural communities typically limit their analyses to single communities or to comparatively large units, such as counties. This information is important, but it is in local subcounty areas where rural people live and work. We examine the appropriateness of minor civil divisions (MCD's) as a small ecological unit in nonmetropolitan areas to measure segregation between poor and nonpoor people. The index of dissimilarity (D) and P^*-type contiguity indices are evaluated for the nonmetro portions of Mississippi and Wisconsin. MCD's are different in the two states, which affects the interpretation of the indices. We found that segregation, as measured by D, was low in both states. The low value of D in Mississippi may have resulted from how the state's MCD's were delineated. Although the P^* indices are highly correlated with the poverty rate, they do provide more information than the poverty rate alone.     

Uneven dynamics and regional disparity of multidimensional poverty in China

Qualifying the official minimum of “Two no worries and three guarantees” (certainty of food and clothing, guarantees of compulsory education, basic medical care, and housing) is essential to evaluate the targeted poverty alleviation program since 2013 in China. Using the poverty monitoring dataset and the multidimensional poverty indicator system, the uneven dynamics and regional disparity of multidimensional poverty and its driving factors in poverty-stricken areas in China during 2014–2018 are explored in this paper. The incidence rate of multidimensional poverty was reduced by 61.72%, and the poverty reduction rate within the six dimensions ranged from 52.29 to 76.36%. Multidimensional poverty and its six dimensions displayed narrowing regional disparity. Impoverished and moderately poor areas shrank, whereas low-poverty areas expanded. All 22 provinces have become low-poverty areas in 2018. The contribution of each dimension to multidimensional poverty varies for different types at different stages. Income and expenditure contribute the most to poverty status, followed by transportation, housing conditions, education, communication, and medical care and health. The contribution of each indicator among different dimensions varied with different trends from 2014 to2018. This paper helps incorporate the official minimums of “Two no worries and three guarantees” into a more operational evaluation system to promote sustainable policies for governments at all levels by 2020 and beyond, as well as provide valuable references for poverty alleviation in other developing countries worldwide.

     

Monitoring Perceptions of the Causes of Poverty in South Africa

This study explored how people perceive the causes of poverty. Literature revealed that there are three broad theoretical explanations of perceptions of the causes of poverty, namely individualistic explanations, where blame is placed squarely on the poor themselves; structural explanations, where poverty is blamed on external social and economic forces; and fatalistic explanations, which attribute poverty to factors such as bad luck or illness. To examine South Africans perceptions according to these dimensions secondary analysis was employed on one of the Human Sciences Research Council’s (HSRC) national representative client surveys. Approximately 3,498 respondents across South Africa were surveyed between 18 April and 30 May 2006. The bivariate analysis revealed that South Africans in general attribute poverty to structural over individualistic and fatalistic dimensions of poverty. Ordinary least square regressions revealed that these perceptions of poverty interacted with a host of socio-demographic and economic variables such as race and peoples’ lived experiences of poverty. In this regard, all three ordinary least square regressions showed that lived poverty had a significant impact in predicting respectively structural, individualistic and fatalistic perceptions of the causes of poverty. The second regression predicted individualistic perceptions and showed that being white was the most significant predictor. The third regression predicted fatalistic perceptions and established that being coloured was the most significant predictor.     

The Relationship Between EU Indicators of Persistent and Current Poverty

The current poverty rate and the persistent poverty rate are both included in the European Union’s (EU's) portfolio of primary indicators of social inclusion. We show that there is a near-linear relationship between these two indicators across EU countries drawing on empirical analysis of EU-SILC and ECHP data. Using a prototypical model of poverty dynamics, we explain how the near-linear relationship arises and show how the model can be used to predict persistent poverty rates from current poverty information. In the light of the results, we discuss whether the EU's persistent poverty measure and the design of EU-SILC longitudinal data collection require modification.     

From Rags to Riches? Immigration and Poverty in Spain

This article for first time explores the relationship between immigration and poverty in Spain. Using recent Spanish household surveys, it is found, first, that both moderate and severe poverty are more acute among immigrants than among nationals and social transfers play no substantial role in reducing monetary deprivation in the case of foreign-born population; in the second place, we perform an econometric analysis that shows that the different poverty risk faced by local and immigrant households is not driven by differences in basic household and demographic characteristics.     

The European 'Welfare Mix': Institutional Configuration and Distributive Outcome in Sweden and the European Union. A Longitudinal and Comparative Perspective

This paper explores the institutional configuration (the three welfare delivery systems: market, welfare state, family) and its distributional correlates (income inequality; poverty rates; inequality related to social cleavages such as social class, generation, gender, region and family). The analysis has a twofold perspective: comparative (comparing 14 EU member states) and longitudinal (comparing Sweden 1975--1995), using nations as statistical units. The European union appears to be divided in three distinct and homogeneous clusters: a Nordic cluster (Sweden, Denmark, Finland) exhibiting large social expenses, high labour market participation and weak family ties. Its distributional features are low income inequality, poverty rates and class inequality, but high levels of inequality between generations; a southern cluster (Greece, Italy, Spain, Portugal) characterised by lower welfare provisions, low employment, but strong traditional families. Its distributional features are high levels of income inequality, poverty and class inequality, but low levels of generational inequality; a central European cluster in intermediate position. UK joins the southern cluster with high levels of income inequality, poverty and class inequality.     

中国西部少数民族地区人口的贫困原因及其政策启示

中国的少数民族人口主要分布在生态环境恶劣、经济社会发展落后的西部地区,这些地区同时也是贫困人口分布最多的区域。本文首先从地域、人口增长以及国家扶贫战绩几方面分析了西部少数民族地区人口与贫困在地域上的重合性,进而从区域发展、社会公平和政策效果以及贫困人口的人文因素等方面分析了造成少数民族地区人口贫困的原因,认为虽然造成区域性少数民族贫困状况的主要原因来自于区域发展的滞后,但在摆脱贫困的难易方面,政府提供的脱贫服务和民族人口的人文制约因素则起着更为重大的作用。     

The Changes of Cost of Children for Turkey by Using Income-Dependent Equivalence Scales

This study aims to estimate the cost of children in Turkey by using equivalence scale approach for different income levels and suggests a new commodity composition for Muslim countries. We used 2003, 2007 and 2014 household budget survey micro data set. According to the calculations of Engel equivalence scales, the cost of children decreases from 2003 to 2014 in Turkey. Since the data of 2007 is determined as reasonable consumption behaviours of Turkish households, the inequality and poverty researches can use equivalence scales calculations of 2007. If anyone wants to estimate Rothbarth equivalence scales for a Muslim country, using of “adult goods” which is defined as “expenditures of alcohol, tobacco, adult cloths and adult shoes” in literature would not be suitable. This study suggests “a new commodity group” which is “furnishing and communication”. The Engel model estimations are significant for households who are at the middle and high income level whereas the results of Rothbarth model estimations are found as significant for low and middle income groups. As a result, we recommend to use equivalence scales estimations’ results for middle income groups in the inequality and poverty researches, since this group is free from irregular expenditure behaviors and gives significant estimations for both models.     

The Poverty-Growth-Inequality Triangle: Asia 1960s to 2010s

The main objective of this paper is to disentangle the poverty-growth-inequality triangle for Asia, its sub-regions and individual economies by constructing poverty and inequality profiles, decomposing poverty changes and modelling inequality. Due to a shortage of unit record data, analytical techniques are developed for estimating the poverty headcount ratio and regional inequality with minimum data requirements. Analytical results confirm significant reductions in poverty across the board due to fast growth, although the benign effect of growth on poverty was offset by worsening distributions in many economies. Furthermore, the poverty-reducing effect of growth has been diminishing over time and converging to 0 for many countries. Also, the cost of rising inequality in Asia was found to be surprisingly large in terms of missed poverty reduction. Looking ahead, Asia is expected to eradicate abject poverty soon but likely to continue facing high inequality, particularly income gaps between economies.

     

Measuring Child Poverty in South Africa: Sensitivity to the Choice of Equivalence Scale and an Updated Profile

This paper offers evidence on the sensitivity of child poverty in South Africa to changes in the adult equivalence scale (AES) and updates the child poverty profile based on the Income and Expenditure Survey 2005/06. Setting the poverty line at the 40th percentile of households calculated with different AESs the scope and composition of child poverty are found to be relatively insensitive to the scale used. The rankings of children of different ages, girls versus boys, racial groupings and children living in rural versus urban areas are unaffected by choice of AES, although some provincial rankings on the poverty headcount measure are. The proportions of children and households ‘correctly’ identified as poor for the full range of scales is extremely high. These findings support the argument that it may be appropriate for profiling poverty in South Africa to use a poverty line based on a per capita welfare measure. For the construction of the child poverty profile, per capita income is used as the welfare indicator with the poverty line set at the 40th percentile of household. The profile suggests that poverty amongst children is more extensive than amongst the population or adults even after the massive injection of transfers into households with poor children through the child support grant. The child poverty headcount, depth and severity are all highest amongst children age 0–4 and lowest amongst those aged 15–17, who are not yet beneficiaries of the grants. They are also highest amongst African and Coloured children. Large variations across provinces remain. The analysis underlines the importance of prioritising children in the fight against poverty, particularly in their earliest years.     

Regional Differences in the Gender Wage Gap in Spain

This study examines regional differences in the gender wage gap in Spain using matched employer–employee microdata, two different econometric decomposition methods and panel data techniques. Our findings suggest that Spain shows a significant regional heterogeneity in the size of the raw gap, roughly comparable to cross-country differences observed in the European context. The results from the decomposition analysis show that although the bulk of the gender wage gap in Spanish regions is due to differences in the endowments of productive characteristics between males and females there is still a substantial part of the gap that remains unexplained. The analysis of the causes behind the variation of both, the raw and the unexplained gender wage gap by region highlights that several economic, institutional and demographic elements identified in previous studies analysing international differences in the gender wage gap are also relevant to explain regional differences in the gender wage gap in Spain.     

Does How You Measure Income Make a Difference to Measuring Poverty? Evidence from the UK

Income is regarded as one of the clearest indicators of socioeconomic status and wellbeing in the developed world and is highly correlated with a wide range of outcomes. Despite its importance, there remains an issue as to the best way to collect income as part of surveys. This paper examines differences in how income is collected in a nationally representative UK birth cohort, the Millennium Cohort Study, looking at variations by questions asked and by respondent characteristics before then examining the implications different methods of collecting and reporting income may have for measuring poverty. Results show that less than a third of respondents give consistent information on income between measurement tools. Using multiple questions is associated with a substantially lower response rate but this method generally results in a higher estimate of family income than using a single question. This is particularly true for certain groups of the population—those on means tested benefits, in self-employment and in part-time employment. Not surprisingly then in our analysis of poverty, using a single question produces an inflated proportion of families who could be classified as living in poverty and is less associated with other measures of financial deprivation than the more conservative poverty measure based on multiple questions.     

Development Disparities and Peculiarities: An Empirical Investigation

The vast, sprawling and densely populated province of Punjab, while predominantly agricultural, is marked by considerable regional disparities. An attempt has been made in this paper to see to what extent the differences in the human and social development in its various districts is there. The study exhibits that those regions which are ranked as lagging districts have high disparities in terms of human development and social development with high urban and rural poverty estimates. It is clearly revealed that aggregate national figures mask vast sub regional disparities and speedy development in some regions may not necessarily elevate lagging regions.     

Incidence, Depth and Severity of Children in Poverty

Recently, the first ever estimate of the number of children living poverty in developing countries was undertaken. The incidence of child poverty was estimated by establishing how many children suffer severe deprivation in at least one out of seven indicators which are internationally recognized as their rights as well as constitutive of poverty. This is a major step forward in the analysis of poverty. In this paper, we generalize these findings on the incidence of children living in poverty by exploring how to estimate the depth and severity of child poverty. Two countries can have the same proportion of children living in poverty, however, the actual plight of children could be very different depending on how many deprivations, on average, children suffer. In addition, even if they suffer from the same average number of deprivations, these deprivation could be the same for all children or be very unevenly distributed. We show how these considerations can be used to estimate the depth and severity of poverty. We use regional data to provide applied examples of this methodology. The method proposed in this paper is similar to the one used to estimate the incidence, depth and severity of income poverty. The paper also offers some possible generalizations and ways forward for future research.     

Life Satisfaction of Adolescents in Hunan,China: Reliability and Validity of Chinese Brief Multidimensional Students’ Life Satisfaction Scale (BMSLSS)

The concept of poverty has gone beyond the monetary attributes to cover several dimensions directly influencing the level of individuals’ socio-economic status. Based on this methodological advancement, this study aims to approximate the deprivation of education, health and housing facilities to analyze the incidence of multidimensional poverty (MDP) at regional levels in the Sindh province of Pakistan. Findings revealed that the magnitude of MDP varies significantly across the regions due mainly to the variation in the deprivation levels of socio-economic aspects. Furthermore, the magnitude of MDP is higher in rural areas than urban areas in each region.     

Poverty Assessment in Degraded Rural Drylands in the Monte Desert,Argentina. An Evaluation Using GIS and Multi-criteria Decision Analysis

The work aims to contribute to the construction a local-scale poverty indicator, which contemplates multiple dimensions and allows for spatialization of socioeconomic data for a rural area in the Monte Desert. Given the evident and widely studied relationship between desertification processes and poverty, and aiming to contribute to integrating socioeconomic information to desertification assessment and monitoring, there arises the need for spatializing poverty by addressing its multiple dimensions, aspects poorly developed thus far. For this purpose, a data model was designed, which enabled integrating quantitative and qualitative information within the scope of geographic ?nformation systems (GIS) with multi-criteria decision analysis (MCDA), whereby it was possible to spatialize in detail the degree of poverty in the study area, laying the foundations for up-scaling the assessment to different scales. This work demonstrates the usefulness of GIS and MCDA as an instrument that enables progressing in new integral, interdisciplinary, multi-scale and multi-temporal approaches.     

Is poverty multidimensional? A comparison of income and asset based measures in five Southern African countries.

This paper contests the major emphasis placed on the multidimensional nature of poverty measurement. Instead, it argues that poverty pictures created by different measures and at different units of analysis tend to converge. This argument is derived from a comparison of poverty pictures created using income and asset-based measures at the national and household level in five South African Development Community countries. Although multidimensional measures have value in illuminating subtle differences, the findings indicate a single dimension of poverty that runs throughout all the measures and levels of analysis. However, despite the single poverty picture provided by different measures, the abandonment of these different measures is not supported. Multidimensional measures provide insight into particular elements of poverty that is useful and relevant to poverty interventions.