Social Health Indicators and Economic Growth: Evidence from East Asia and Pacific,Middle East and North Africa,South Asia,and Sub-Saharan Africa

The objective of this study is to empirically investigate a two-way statistical relationship between the social health indicators and economic growth in the context of four major regions of the world i.e., East Asia and Pacific, Middle East and North Africa (MENA), South Asia and Sub-Saharan Africa. To recognize the relationship between the two variables, a time series, co-integration and Granger causality tests have been employed. Aggregate secondary data pertaining to these four regions from 1975 to 2011 on economic growth and social health indicators i.e., infant mortality, child abuse, child poverty, unemployment, weekly wages, health insurance coverage, teenage suicide, teenage drug abuse, high school dropouts, poverty, out-of-pocket health costs, homicides, alcohol related traffic fatalities, food insecurity, income inequality, HIV/AIDS, tuberculosis, basic health units and rural health centers has been used for analysis. This study evaluates four alternative but equally plausible hypotheses, each with different policy implications. These are: (1) social health indicators Granger cause economic growth, (2) economic growth Granger cause social health indicators (the conventional view), (3) There is a bi-directional causality between the two variables and (4) Both variables are causality independent (although highly correlated). The empirical results only moderately support the conventional view that economic growth has significant long run casual effect on social health indicators in East Asia and Pacific, MENA, South Asia and Sub-Saharan Africa. The present study find evident of unidirectional causality running towards economic growth to social health indicators, although, there are some bidirectional causality also exists between the variables. The percentage of unidirectional causality between economic growth and social health indicators is larger than bidirectional or neutrality hypothesis.     

“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.     

The Role of Family Behaviors in Determining Income Distribution: The Case of South Korea

In this article, we examined what has contributed to the worsening income inequality and poverty between 1996 and 2011 in South Korea. We used a rank-preserving exchange method and a conditional reweighting method to assess the roles of family behaviors—including female labor force participation and family structure—characteristics of household heads, and men’s earnings. The results showed that the change in men’s earnings was a dominant factor in accounting for the increasing income inequality and poverty. The change in age and education among household heads also contributed significantly to the worsening income distribution. The change in family structure mainly affected the income disparity among lower-income families and increased poverty. The rise in women’s labor force participation improved the income distribution but not considerably. The distributional roles of family have not worked to prevent or reverse the worsening income distribution in the past few decades in South Korea.     

Subjective Well-Being,Poverty and Ethnicity in South Africa: Insights from an Exploratory Analysis

South Africa has one of the highest inequality levels in the world. In 1993, nearly half of the population were considered poor. These poverty and inequality levels were and still are a legacy of South Africa’s colonial and apartheid past. Since the end of apartheid, there has been a strong governmental effort to combat poverty and in this light a ‘social indicators movement’ has emerged. The aim of this article is to contribute to the South African social indicators research in three ways: Firstly, this article introduces ethnicity as a unit of analysis in the context of poverty and well-being. It is argued that racial categorisations are not justifiable and in the case of South Africa hide valuable insights. The results of an exploratory analysis suggest that ethnicity allows a more insightful analysis of poverty and well-being than race. Secondly, this article introduces a multiple correspondence analysis (MCA) in the context of subjective well-being research. Many studies regarding subjective well-being in South Africa use ordered probit regression models. It is argued here that these models are based on false assumptions and that a MCA can be seen as a suitable alternative since it constitutes an assumption free model. Lastly, the insights gained from the exploratory analysis are discussed. The MCA seems to show that subjective well-being can be regarded as an outcome measure. Furthermore, it is argued that there are cultural differences (between the ethnic groups) regarding subjective well-being. It seems that the ethnic groups in South Africa have different conceptions of well-being and that different factors influence their subjective well-being assessments. This work is partly based on a Master thesis from 2004 at the Institute for Development Policy and Management at the University of Manchester. I am grateful for the intellectual guidance, the constant support and encouragement by Wendy Olsen and for the comments on earlier drafts from Peter Edward, David A. Clark and two anonymous reviewers.     

Gender and Multidimensional Poverty in South Africa: Applying the Global Multidimensional Poverty Index (MPI)

Recent work has shown that the gender gap in income poverty has widened in post-apartheid South Africa even though overall poverty levels have declined. One of the main criticisms of money-metric studies of gendered poverty differences is that income is only one dimension of poverty and that other measures of welfare may better reflect the relative well-being of women and female-headed households. This article presents a multidimensional approach to measuring the gender poverty gap in post-apartheid South Africa. Using data from the 2008 wave of the South African National Income Dynamic Study, the internationally comparable multidimensional poverty index (the MPI) is used to estimate gender differences in a number of different achievements. The findings suggest that the multidimensional gender poverty gap is similar to the poverty gap measured by the conventional money-metric approach at several national poverty lines. However, the MPI poverty differential between female- and male-headed households is slightly narrower than the income poverty gap between these two household types. In order to explore these findings further, the paper decomposes the components of multidimensional poverty by gender and for both female- and male-headed households. The paper concludes by considering how greater investments in health care delivery and in basic services, particularly in rural areas, may yield progress towards gender equality.     

Tracking Poverty Reduction in Bhutan: Income Deprivation Alongside Deprivation in Other Sources of Happiness

This paper analyses poverty reduction in Bhutan between two points in time—2003 and 2007—from a multidimensional perspective. The measures estimated include consumption expenditure as well as other indicators which are directly (when possible) or indirectly associated to valuable functionings, namely, health, education, access to electricity, safe water, improved sanitation, enough room per person in dwelling, access to roads and land ownership. Interestingly, most of these indicators have been identified as sources of happiness in the 2007 Gross National Happiness Survey. Twelve different measures are estimated with a variety of values for the different parameters involved for robustness analysis. Also, estimates are bootstrapped creating 95 % confidence intervals. We find that over the study period there was an unambiguous reduction in multidimensional poverty regardless of the indicators’ weights, deprivation cutoffs and identification criterion of the poor. This reduction was mainly led by a reduction in the proportion of the poor which was accompanied by a reduction in the intensity of poverty among those who were less intensively poor, although not among those who were more intensively poor. Rather than accomplishing this poverty reduction by improving achievements in one or two indicators, there were significant reductions in several deprivations, especially in access to roads, electricity, water, sanitation, and education. We also find that when income alone is used to target the poor, inclusion errors are marginal but exclusion errors are sizeable. Despite Bhutan’s significant progress, challenges remain as poverty is still high in rural areas. A multidimensional measure in the lines proposed in this paper can prove useful for monitoring poverty reduction, prioritizing groups and evaluating upon investment.     

Household Budgets as a Social Indicator of Poverty and Inequality in South Africa

In the absence of a universally accepted method of calculating poverty, household expenditure can be used to provide an indication of inequality of wealth and serve as an indicator of poverty. Household expenditure comprises expenditure of private households on goods and services, irrespective of their durability. The portion of household budgets allocated to different types of goods and services provides an indication of the material standard of living of a population. The article discusses different definitions of poverty and compares the state of poverty according to these definitions in selected countries. This is followed by an analysis of South Africa’s economic position in the world and a comparison of the household budgets and demographic profile of South African households that fall into different income groups in order to identify the differences between the poorest and the wealthiest households in South Africa. Income inequality in South Africa is further elucidated by means of the Gini coefficient. A comparison is also made between the household budgets of the poorest households with the minimum financial living level requirements in South Africa to maintain their health and have acceptable standards of hygiene and sufficient clothing for their needs.     

An Econometric Analysis of the Relationship Between Millennium Development Goals,Economic Growth and Financial Development in South Africa

The relationship between financial development, economic growth and millennium development goals are unsettled in the literature. Using four indicators of financial development, this paper studies the link between the three variables in South Africa. In general, per capita income improves per capita spending on education in the short run. However, total domestic credit to GDP ratio decreases spending on education. There are highly significant long run relationships among the variables. Improving access to private sector credit and increasing per capita incomes are associated with improvement in health outcomes in South Africa. There are no short run nor long run relationships between household spending on clothes, economic growth and financial sector development. Improved private sector credit also improves household spending on food. In general, there are long run relationships between per capita spending on food, per capita income and financial sector development.

     

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.     

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.     

Is Inequality a Latent Construct? An Assessment of Economic Inequality Indicators and Their Relation with Social Cohesion in Europe

In this article, we analyse the relation between different economic inequality indicators and social cohesion. Previous research usually narrows down economic inequality to income inequality, or distinguishes several types of economic inequality. Little attention has until now been given to how different aspects of economic inequality might be related to each other and can have an effect on social cohesion. This article analyses several indicators of economic inequality and makes a distinction between indicators measuring income inequality, poverty, economic strain and unequal distributions of wealth. Arguing that these indicators represent different aspects of inequality, we hypothesise that they cannot be reduced to one latent concept of inequality and have specific relations with social cohesion. In order to test this hypothesis, we conducted an exploratory factor analysis. This resulted in two different factors: one associated with economic hardship, and one associated with imbalances in market outcomes. This would imply that inequality indicators can be classified into two underlying concepts. Secondly, we related the factor scores of the two latent concepts to the social cohesion indicators via regression analyses. This paper focuses on European countries and uses pooled data from the European Social Survey (period 2006–2012), in combination with macro-level data drawn from the OECD, Eurostat and the World Bank. The results demonstrate that the strength of the link between inequality and citizens’ attitudes depends on the type of inequality indicator we analyse: only the factor economic deprivation can be significantly linked to social cohesion.     

One Size Fits All? The Validity of a Composite Poverty Index Across Urban and Rural Households in South Africa

Composite indices have been prominently used in poverty research. However, validity of these indices remains subject to debate. This paper examines the validity of a common type of composite poverty indices using data from a cross-sectional survey of 2477 households in urban and rural KwaZulu-Natal, South Africa. Multiple-group comparisons in structural equation modelling were employed for testing differences in the measurement model across urban and rural groups. The analysis revealed substantial variations between urban and rural respondents both in the conceptualisation of poverty as well as in the weights and importance assigned to individual poverty indicators. The validity of a ‘one size fits all’ measurement model can therefore not be confirmed. In consequence, it becomes virtually impossible to determine a household’s poverty level relative to the full sample. Findings from our analysis have important practical implications in nuancing how we can sensitively use composite poverty indices to identify poor people.     

Multidimensional Poverty in China: Findings Based on the CHNS

This paper estimates multidimensional poverty in China by applying the Alkire-Foster methodology to the China Health and Nutrition Survey 2000–2009 data. Five dimensions are included: income, living standard, education, health and social security. Results suggest that rapid economic growth has resulted not only in a reduction in income poverty but also in a reduction in multidimensional poverty in the last decade, both in terms of its prevalence and intensity. However, many challenges remain. There are wide disparities across provinces and between urban and rural areas, with poverty being 1.5 times higher in rural areas than in urban ones in 2009. Moreover, rising deprivation in education in rural and less developed provinces should also be a policymaking concern.     

The Multidimensionality of Child Poverty: Evidence from Afghanistan

This paper examines multidimensional poverty among children in Afghanistan using the Alkire-Foster method. Several previous studies have underlined the need to separate children from their adult nexus when studying poverty and treat them according to their own specificities. From the capability approach, child poverty is understood to be the lack of freedom to do and to be what children themselves value and have reason to value. The case of Afghanistan is particularly relevant as years of conflict aggravated by several severe droughts, political insecurity, bad governance and ongoing violence have significantly increased poverty in the country. The paper discusses the relevant dimensions when analysing child poverty and uses data from a survey carried out by Handicap International which contains information on dimensions of children’s wellbeing that is typically missing in standard surveys. Ten dimension are considered in this paper: health, care and love, material deprivation, food security, social inclusion, education, freedom from economic and non-economic exploitation, shelter and environment, autonomy, and mobility. Our results show that younger children, those living in rural areas, girls and disabled children are the most deprived.     

Income inequality and fertility: A comparative view

Summary Most studies pertaining to the relationship between population and economic development suffer from a major flaw. Researchers use aggregate measures like income or energy consumption per head as indicators of economic development. Such aggregate measures fail to take into account the nature of the distribution of income or energy consumption to the population. The present study attempts to demonstrate the importance of incorporating the nature of distribution of resources as an important intervening variable in the study of the overall relationship between population and economic development. A measure of income inequality is developed which represents the difference between rural and urban incomes. This measure is justified in terms of the distinctiveness of urban and rural sectors in the process of development. The data used relate to societal measures of fertility, income, income inequality, etc. Consistently with existing literature, we observe that, generally speaking, economic development does entail a reduction in rural-urban income inequalities. On the other hand, a substantial part of the negative effect of an increase in income per head can be nullified if such an increase were not also accompanied by a reduction in rural-urban income inequality. Also, a substantial part of the negative effect of an increase in income per head and the level of education in reducing the level of infant mortality would be nullified if it did not also result in a reduction of rural-urban income inequality. On the other hand, it is quite possible for the level of education in a society to increase together with an increase in income per head without substantially altering the extent of inequality of income between the rural and the urban population. It is suggested that the positive relationship between rural-urban income inequality and the level of fertility is due to higher rural fertility rates in a high-inequality country. By implication, this would mean that higher standards of living for the rural population compared with its urban counterpart will have a favourable impact in reducing rural fertility.     

Using Changes in Life Satisfaction and Health to Predict the Survival Status Among Older Men and Women in Taiwan

Despite policies aimed at decreasing old-age income inequality, such as Social Security and Supplemental Security Income, research consistently finds that later-life poverty is highly concentrated among women. While the early-life economic disadvantages of motherhood are well established, little work has examined whether these disadvantages persist into later life. Life course research consistently demonstrates the relationship between early-life choices and later-life inequality, but few studies have examined whether the reproductive phase of a woman's life is associated with her later-life income. Using data from the 2003 wave of the National Longitudinal Survey of Mature Women cohort, this research examines whether women's age at first birth and parity are associated with her later-life income within the context of marriage. From a set of multivariate analyses, I find that despite a marginal statistically significant effect, substantively for the women in this cohort the effects of childbearing are not particularly consequential for later-life income. The results suggest that as women age the economic penalties associated with motherhood are less important to financial well-being than are other factors.     

Welfare states and inequality: Institutional designs and distributive outcome

Comparative studies on inequality have suffered from severe methodological problems, which mean that issues related to the causes of cross-national variation in inequality remain unresolved. In comparative welfare state research, the preoccupation with expenditure data has also meant that the welfare state itself has remained a black box. By examining new comparative data on social policy institutions and income inequality among different population groups, this study provides a more precise empirical basis for evaluating different, and divergent, theories on the welfare state and equality. Three cases will be used as illustrations: family policy and child poverty, unemployment benefits and poverty among working aged, and old-age pensions and poverty among the elderly. The results suggest that the key for understanding the effect of the welfare state lies in the institutional design—in the level and distribution of social rights. The importance of the welfare state for social stratification deserves to be given more attention by sociological research in the future.     

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.     

中国城乡弱相对贫困测算及时空演变：2012—2018

相对贫困的识别和测算是瞄准贫困人口和制定减贫政策的基础,但常用于识别相对贫困人口的比例收入法和测度相对贫困程度的FGT指数在理论基础、比例设定和贫困性质方面遭到质疑。采用基于社会融入成本理论的弱相对贫困人口识别方法,及与弱相对贫困线相适应的分层可加综合贫困指数,且考虑与现阶段我国绝对贫困线衔接性及国际标准的可比性,使用2012—2018年中国家庭追踪调查(CFPS)数据估计了中国城乡收入(消费)弱相对贫困线,并测算分析了中国城乡收入(消费)弱相对贫困程度及时空演变特征。研究表明,基于弱相对贫困线构造的综合贫困指数兼顾绝对贫困和相对贫困,可以避免传统FGT指数分别测度绝对贫困和相对贫困时动态变化趋势出现分歧的问题,可更为直观地综合评估经济增长和扶贫政策的减贫效应。无论城乡,尽管不平等导致相对贫困始终处于高位水平,但绝对贫困更大的下降幅度使得中国收入(消费)弱相对贫困程度仍呈稳健下降趋势。从社会融入成本角度出发,建议未来考虑住房成本和子女养育成本,分家庭类型进一步细化弱相对贫困标准。本研究有助于进一步分类瞄准弱相对贫困人口,监测弱相对贫困程度演变并综合评估减贫效应。     

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.