Multidimensional Measurement of Poverty Among Women in Sub-Saharan Africa

Since the seminal work of Sen, poverty has been recognized as a multidimensional phenomenon. The recent availability of relevant databases renewed the interest in this approach. This paper estimates multidimensional poverty among women in fourteen Sub-Saharan African countries using the Alkire and Foster multidimensional poverty measures, whose identification method is based on a counting approach. Four dimensions are considered: assets, health, schooling and empowerment. The results show important differences in poverty among the countries of the sample. The multidimensional poverty estimates are compared with some alternative measures such as the Human Development Index, income poverty, asset poverty and the Gender-related Development Index. It is found that including additional dimensions into the analysis leads to country rankings different from those obtained with the mentioned four measures. Decompositions by geographical area and dimension indicate that rural areas are significantly poorer than urban ones and that a lack of schooling is, in general, the highest contributor to poverty. The paper also conducts robustness and sensitivity analyses of the multidimensional estimates with respect to the number of dimensions in which deprivation is required in order to be considered poor, as well as to the poverty lines within each dimension. Several cases of dominance between countries are found in the first robustness test.     

Considering the Extremely Poor: Multidimensional Poverty Measurement for Germany

This paper applies the Alkire and Foster (J Public Econ 95:476–487, 2011) index of multidimensional poverty to German data. This is done with respect to the politically most important dimensions of poverty mentioned in the German Federal Government’s report on poverty and wealth. Additionally, a modification of the identification step of the Alkire–Foster index is proposed to guarantee that individuals, who are extremely poor in only few dimensions, are not omitted by the index.     

The Counting-Based Measurement of Multidimensional Poverty: The Focus on Economic Resources, Inner Capabilities, and Relational Resources in the United States

This paper assesses the Alkire and Foster (AF) approach to measure multidimensional poverty and proposes a ‘dimensional’ approach with economic resources, inner capabilities, and relational resources to account for its conceptual deficits. By measuring poverty in the United States using data from General Social Survey, it shows that, compared to the AF approach, the two-step process of the dimensional approach can provide greater insights into the form and structure of poverty, helping to analyze issues more comprehensively and inform policy decisions better. The relevance of the specific poverty dimensions and indicators and their operationalization are discussed and carried further.     

A Different Perspective on Poverty in Lao PDR: Multidimensional Poverty in Lao PDR for the Years 2002/2003 and 2007/2008

This paper presents an indicator for measuring multidimensional poverty in the Lao People’s Democratic Republic applying the Alkire–Foster methodology to the Lao Expenditure and Consumption Survey 2002/2003 and 2007/2008. We calculated a multidimensional poverty index (MPI) that includes three dimensions: education, health, and standard of living. Making use of the MPI’s decomposability, we analyse how much each of the different dimensions and its respective indicators contribute to the overall MPI. We find a marked reduction in the multidimensional poverty headcount ratio over the study period, regardless of how the indicators are weighted or how the deprivation and poverty cut-offs are set. This reduction is based on improvements regarding all indicators except cooking fuel and nutrition. We observe no significant reduction in the intensity of poverty, however; there are wide disparities between the country’s regions and between urban and rural areas. The proportion of poor people in rural areas is more than twice as high as that in urban areas. By complementing the traditional income-based poverty measure, we hope to provide useful information that can support knowledge-based decision-making for poverty alleviation.     

Monitoring Progress in Child Poverty Reduction: Methodological Insights and Illustration to the Case Study of Bangladesh

Important steps have been taken at international summits to set up goals and targets to improve the wellbeing of children worldwide. Now the world also has more and better data to monitor progress. This paper presents a new approach to monitoring progress in child poverty reduction based on the Alkire and Foster adjusted headcount ratio and an array of complementary techniques. A theoretical discussion is accompanied by an assessment of child poverty reduction in Bangladesh based on four rounds of the demographic household survey (1997–2007). Emphasis is given to dimensional monotonicity and decomposability as desirable properties of multidimensional poverty measures. Complementary techniques for analysing changes over time are also illustrated, including the Shapley decomposition of changes in overall poverty, as well as a range of robustness tests and statistical significance tests. The results from Bangladesh illustrate the value added of these new tools and the information they provide for policy. The analysis reveals two paths to multidimensional poverty reduction by either decreasing the incidence of poverty or its intensity, and exposes an uneven distribution of national gains across geographical divisions. The methodology allows an integrated analysis of overall changes yet simultaneously examines progress in each region and in each dimension, retaining the positive features of dashboard approaches. The empirical evidence highlights the need to move beyond the headcount ratio towards new measures of child poverty that reflect the intensity of poverty and multiple deprivations that affect poor children at the same time.     

Multidimensional Poverty in Mountainous Regions: Shan and Chin in Myanmar

Poverty is complex and multidimensional. People living in mountainous regions are vulnerable and more likely to experience multiple deprivation. However, few studies have addressed multidimensional poverty in mountainous regions. Using data from 4290 households of poverty and vulnerability assessment survey and the Alkire–Foster methodology, this paper estimate and decompose multidimensional poverty in the states of Shan and Chin in Myanmar. The multidimensional poverty is measured in five dimensions and a set of twelve indicators. Nearly half of the population in Shan and three-quarters in Chin were multidimensionally poor. The average intensity of poverty was 44% in Chin and 38% in Shan. The multidimensional poverty index was 0.33 in Chin and 0.19 in Shan. The level of multidimensional poverty in Chin was similar to that in of Sub-Saharan Africa. In Chin, 60% of the population was both multidimensionally poor and consumption poor, but in Shan, it was 20%. About 28% of the population in Shan and 15% in Chin were multidimensionally poor but not consumption poor. Deprivation in education accounts for one-third of the multidimensional poverty in Shan; while deprivation in health accounts for one-third of the multidimensional poverty in Chin. A higher proportion of multidimensionally poor had experienced shocks such as the death of a household member, agricultural loss, or death of livestock compared to the multidimensional non-poor. Multidimensional poverty was significantly higher for rural household, households with lower educational attainment, consumption poor and among those who lived in Chin. Poverty reduction programs require a holistic understanding of poverty and its different dimensions as well as the main contributing factors for effective planning and program implementation. Geographical targeting of poverty reduction program and larger investment in food, health, water, energy and education can reduce the extent of multidimensional poverty in Shan and Chin.     

Multidimensional Poverty and Inequality: Insights from the Upper Blue Nile Basin,Ethiopia

As stated in the 2018 global Multidimensional Poverty Index (MPI) report, Ethiopia has the second largest multidimensionally poor population in Africa (after Nigeria). The global MPI was created to measure household’s multiple deprivations, but little systematic study has been carried out on the application of MPI measures on a smaller scale and vis-à-vis other measures of poverty. In addition, most of the few existing studies ignore any measure of inequality amongst the multidimensionally poor. This study explored multidimensional poverty in three different drought-prone agro-ecological settings of the Upper Blue Nile basin, Ethiopia. A preliminary participatory exercise was carried out at the study sites to select important indicators and then a structured survey was administered to 390 systematically and randomly selected households. The Alkire–Foster method was used to analyse multidimensional poverty and verified it with Correlation Sensitive Poverty Index (CSPI). Multidimensional poverty incidence, adjusted head count ratio and inequality were significantly different between study sites (p?<?0.001). Results indicated a high incidence (88%, 82% and 80%), intensity (52%, 55% and 56%), MPI (46%, 45% and 45%) and inequality (53%, 60% and 63%) of poverty in Aba Gerima, Guder and Dibatie study sites, respectively. A high level of divergence was revealed between the MPI and CSPI in terms of identifying the poor. The living standard and land and livestock ownership dimensions contributed the most to MPI. The case study signifies the importance of inclusion of land and livestock indicators for the national MPI. Besides, it implies that researchers and policymakers need to account for smaller scale contextualised indicators and location differences when studying and designing anti-poverty interventions.

     

A Multidimensional Approach to Measuring Quality of Employment (QoE) Deprivation in Six Central American Countries

This paper proposes a methodology for measuring Quality of Employment (QoE) deprivation from a multidimensional perspective in six Central American countries (Costa Rica, El Salvador, Guatemala, Honduras, Nicaragua, and Panama) using a dataset specifically designed to measure employment conditions. Building on previous work on multidimensional poverty and employment indicators, the paper uses the Alkire/Foster (AF) method to construct a synthetic indicator of the QoE at an individual level. It selects four dimensions that must be considered as essential to QoE deprivation: income, job stability, job security and employment conditions. These dimensions then subdivide into several indicators, a threshold for each indicator and dimension is established before defining an overall cut-off line that allows for the calculation of composite levels of deprivation. The results generated by this indicator show that Central American countries can be divided into three distinct and robust performance groups in terms of their QoE deprivation. Overall, approximately 60% of the deprivation levels are attributable to non-income variables, such as occupational status and job tenure. The methodology used can allow policymakers to identify and focus on the most vulnerable workers in a labour market and highlights the fact that having a formal written contract is no guarantee of good job quality, particularly in the case of women.

     

Multidimensional Poverty in Nicaragua: Are Female-Headed Households Better Off?

The recognition of poverty as a multidimensional concept has led to the development of more adequate tools for its identification. By allowing for subgroup and regional decompositions, those instruments are useful to allocate public action where most needed. This paper applies the Alkire and Foster (2011a) Multidimensional Poverty Index (MPI) to study single-mother and biparental families in Nicaragua, modifying its original structure to match more closely with the country’s current structural problems. Using Nicaragua’s last Demographic and Health Survey (DHS 2011/2012), our multidimensional poverty figures contrast with the government’s national poverty line estimates, suggesting that income poverty overestimates the number of poor people. Thus, our MPI can help as a complement for traditional consumption poverty and Basic Needs analysis; even extending the exploration by using other official household surveys. On the other hand, multidimensional poverty analysis found poverty dominance of male-headed families over single-mother and female-headed biparental families, which serves to contradict the notion of women being more vulnerable than men. Within the MPI, the most important contributor was the Living Standards dimension, composed by indicators directly related to housing conditions, and the second most deprived dimension was Education. A strong policy implication that arises from our findings is the reduction of the urban–rural poverty gap. Specifically, our findings exalt the need for governmental policies directed to reduce Nicaragua’s housing and educational deficits as a priority, particularly in rural areas.     

Exploring Multidimensional Well-Being in Switzerland: Comparing Three Synthesizing Approaches

Well-being is increasingly conceptualized and measured from a multidimensional perspective in order to provide policy makers and the general public with the necessary tools for monitoring social change. Synthetic measures of multidimensional concepts such as well-being are, therefore, needed. This paper provides a systematic comparison of three methodological approaches applicable in a top-down perspective to construct a synthetic multidimensional measure of well-being using the same theoretical framework and the same data. The three methodologies used are the confirmatory factor analysis, the Alkire and Foster counting approach and the posetic approach. The first two methodologies belong to the family of composite indicators, the most common way to synthetize multidimensional information. The third was developed in order to deal with the construction of composite indicators’ two major issues, namely weighting and aggregating. The main contribution of this paper is methodological; it aims at discussing the advantages and drawbacks of the three methodologies, and at identifying their similarities and specificities.     

Rethinking Dimensions: The South African Multidimensional Poverty Index

The growth of literature on multidimensional poverty measures generates an uncertainty about which dimensions best capture the extent of poverty. This paper applies multiple correspondence analysis in the context of multidimensional poverty in South Africa to identify statistically valid additional dimensions using National Income Dynamics Study data of 2012. The results confirm the argument that economic status (lack of employment) and financial commitment (over-indebtedness) can be regarded as important dimensions, as their occurrence constrains households from participating in the activities essential in modern society. It is therefore proposed that, in addition to health, education, and living standard dimensions, both economic status and financial commitments should be included in the framework for the South African multidimensional poverty analysis. A central contribution of this work is a proposal of a hybrid multidimensional measure which recommends a combination of both non-monetary and monetary indicators, in particular over-indebtedness.     

Some Considerations on Well-Being Evaluation Procedures,Taking the Cue from “Exploring Multidimensional Well-Being in Switzerland: Comparing Three Synthesizing Approaches”

In this short paper, we outline some considerations on three different procedures for the statistical evaluation of multidimensional well-being, taking the cue from a recent paper of Iglesias et al. There, the authors apply and compare Confirmatory Factor Analysis, the Alkire–Foster counting approach and the Partial Order Approach on real data, pointing out limitations and potentialities of each procedure. To deepen, and partially correct, some of their (albeit interesting) remarks, here we review the fundamental features of those approaches, so as to shed light on their structural differences and to show that they move from, and may lead to, alternative views on well-being.     

Selecting a Targeting Method to Identify BPL Households in India

This paper proposes how to select a methodology to target multidimensionally poor households, and how to update that targeting exercise periodically. We present this methodology in the context of discussions regarding the selection of a targeting methodology in India. In 1992, 1997, and 2002 the Indian government identified households that are below the poverty line (BPL) and in updating the 2002 methodology, alternative methods have been proposed and vigorously debated. A fourth BPL method was published and a corresponding Socio Economic Caste Census (SECC), implemented. Using the third National Family Health Survey (NFHS-3), this paper illustrates how a BPL targeting method using SECC variables might be calibrated to a multidimensional poverty measure. This paper compares the fit between a benchmark measure of multidimensional poverty and several plausible targeting methods to determine which method(s) approximate it—as well as related measures—most closely. We find a ten-item binary scoring method, which uses variables already available in the SECC questionnaire, provides a strong proxy. The emphasis of this paper is to illustrate how a particular targeting method can be justified, rather than to advocate any particular solution.     

The Association Between Generalized Trust and Physical and Psychological Health Across Societies

This paper estimates a Multidimensional Poverty Index for Gauteng province of South Africa. The Alkire–Forster method is applied on Quality of Life survey data for 2011 and 2013 which offer an excellent opportunity for estimating poverty at smaller geographical areas. The results suggest that the Multidimensional Poverty Index for Gauteng is low but varies markedly by municipality and by ward, as well as across income groups. Not only are low income households more likely to be multidimensionally poor, they also suffer from higher intensities of poverty. Multidimensional poverty is highest in areas of low economic activity located on the edges of the province. However, pockets of multidimensional poverty do prevail even in better performing municipalities. Government, at all spheres, needs to devise policies that channel investments into lagging areas and avoid approaches that are indifferent to the heterogeneities that exist across localised geographical extents.     

Synergies Among Monetary,Multidimensional and Subjective Poverty: Evidence from Nepal

In this paper we construct a Nepal specific multidimensional poverty index using the Nepal Longitudinal Sample Survey (NLSS) for the period 1995–2010. The indicators for Nepal Multidimensional Poverty Index (NMP) have been chosen using the goals set by the Government of Nepal and the perceptions of adequacy as reported by households. In doing so this study combines multidimensional and subjective methods of measuring wellbeing. The subjective data is used to guide the choice of dimensions for the multidimensional analysis. Our findings show that Nepal has had a dramatic fall in multidimensional poverty along with the observed fall in consumption poverty in this period. Comparing the extent to which consumption poverty accurately identifies the multidimensionally poor, we find the error has reduced over time but remains large in proportion to the poverty rate implying the need for a multidimensional measure. For the different ethnic groups and regions the patterns of reduction in poverty are not homogenous and are different from those of consumption poverty with the NMP outperforming the consumption poverty in tracking targeted policy actions.     

Disparities in the Level of Poverty in China: Evidence from China Family Panel Studies 2010

This paper uses the Dual Cut-offs Approach to measure multidimensional poverty in China at the national, rural-urban, regional and provincial levels using the China Family Panel Studies data from 2010. Five dimensions and thirteen indicators are considered for the enumeration of poverty. It is observed that irrespective of cut-offs and weights, rural poverty in China is three to nine times of urban poverty. Social insurance, toilet and cooking fuel are the major indicators contributing to both rural and urban poverty. More urban households in the Western region are deprived, but urban poor households are deprived in more indicators in the Central region, and some Eastern provinces are poorer than some of the Central provinces. Furthermore, the paper identifies the provinces that contribute most to national poverty levels and finds the sources of poverty in those provinces.     

Income and Beyond: Multidimensional Poverty in Six Latin American Countries

This paper studies multidimensional poverty for Argentina, Brazil, Chile, El Salvador, Mexico and Uruguay for the period 1992–2006. The approach overcomes the limitations of the two traditional methods of poverty analysis in Latin America (income-based and unmet basic needs) by combining income with five other dimensions: school attendance for children, education of the household head, sanitation, water and shelter. The results allow a fuller understanding of the evolution of poverty in the selected countries. Over the study period, El Salvador, Brazil, Mexico and Chile experienced significant reductions in multidimensional poverty. In contrast, in urban Uruguay there was a small reduction in multidimensional poverty, while in urban Argentina the estimates did not change significantly. El Salvador, Brazil and Mexico, and rural areas of Chile display significantly higher and more simultaneous deprivations than urban areas of Argentina, Chile and Uruguay. In all countries, deprivation in access to proper sanitation and education of the household head are the highest contributors to overall multidimensional poverty.     

Assessing How Participators Combine Acts in Their “Political Tool Kits”: A Person-Centered Measurement Approach for Analyzing Citizen Participation

The aim of this paper is to highlight some key issues and challenges in the analysis of poverty at the local level using survey data. In the last years there was a worldwide increase in the demand for poverty and living conditions estimates at the local level, since these quantities can help in planning local policies aimed at decreasing poverty and social exclusion. In many countries various sample surveys on income and living conditions are currently conducted, but their sample size is not enough to obtain reliable estimates at local level. When this happens, small area estimation (SAE) methods can be used. In this paper, a SAE model is used to compute the mean household equivalised income and the head count ratio for the 57 Labor Local Systems of the Tuscany region in Italy for the year 2011. The caveats of the analysis of poverty at the local level using small area methods are many, and some are still not so well explored in the literature, starting from the definition of the target indicators to the relevant dimensions of their measurement. We suggest in this paper that together with the universally recognized multidimensional, longitudinal and local dimensions of poverty, a new dimension must be considered: the price dimension, which should take into account local purchasing power parities to correctly compare the poverty indicators based on income measures.     

“a Difficult Life”: The Perceptions and Experience of Poverty in South Africa

The purpose of this article is to provide a fuller and more integrated understanding of poverty based on the results of a nation wide participatory study recently completed in South Africa. A surprisingly consistent view of poverty emerges from the study which includes social isolation, malnourished children, crowded homes, the use of basic energy sources, no employment, and fragmented households. A clear image of what results from extreme poverty also emerges comprising continuous ill health, arduous and often hazardous work for virtually no income, no power to influence change, and high levels of anxiety and stress. The article concludes that conventional definitions of poverty do not fully describe the experience of poverty as analysed by the poor themselves. Instead, the multidimensional nature of poverty suggests that three basic concepts would be useful in any analysis of extent, nature and persistence of poverty. These are sufficiency, access and vulnerability.     

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.