Economic empowerment or cash‐dependency for orphans and vulnerable children in Kenya: Evidence from an alternative to cash‐only models

Orphan and vulnerable children (OVC) often have worse educational, developmental, nutritional, and behavioral outcomes than non‐OVC. Much of these disparities come from reduced household earnings due to the loss of parental income. The present study used conditional process analysis to evaluate income and savings among OVC households, using cross‐sectional data from 1,060 OVC in a 3‐year Kenyan empowerment program that combined elements of cash transfer, psychosocial support, and small business entrepreneurship. Higher monthly earnings were significantly associated with program participation in a graded fashion. Approximately one‐third of the association was mediated by material inputs, indicating that a substantial portion may be explained by other unobserved program elements. Eighty‐five percent of increased rates of saving money in the past year were mediated by improved monthly income, cash transferred and improved food consumption. Data analysis highlights the need for multisectoral approaches and the need for more research to understand how to improve household economic stability among OVC. Key Practitioner Message: ? Orphans and vulnerable children (OVC) are at risk of greater poverty, leading to multiple developmental and health challenges; ? Current policy in Kenya to offset costs of caring for OVC utilizes monthly cash transfers to households providing care for OVC; ? The present study found that increases in monthly income in an OVC multisectoral empowerment program were largely due to factors beyond the material inputs.     

Material hardship and depression among low‐income households in South Korea: Differences by household type

With the recent trend of growing poverty in South Korea, low‐income households, particularly elderly‐ and single‐headed households, are at high risk of experiencing material hardship and depression. However, less is known about the association between material hardship and depression by household type in Korea. Using data (N = 2,913) from the Korean Welfare Panel Study and employing several methodological approaches to address the omitted variables bias, this study examined: (i) the association between material hardship and depression among low‐income households, and (ii) whether the association differed by household type. We found that experiencing material hardship was associated with a higher likelihood of being depressed. In addition, we also found that the association between material hardship and depression differed by household type. The magnitude of the association was most pronounced in single‐ and elderly‐headed households. Policy implications to improve well‐being among low‐income households were discussed.     

Identifying and Explaining Different Poverty Trajectories Using a Group‐based Trajectory Analysis – A Case Study of South Korea

In this study, we propose a group‐based trajectory analysis to examine why and how people fall into and out of poverty despite spiralling public expenditure on anti‐poverty policies. By analyzing the poverty experiences of 1,001 low‐income households between 1999 and 2008 in Korea, we identify five groups based on their poverty trajectories: exiting, declining, slowly rising, rapidly rising and chronic. Household members in each group demonstrate heterogeneous labour market experiences, educational levels and demographic factors. The exiting group has a high proportion of full‐time workers, high school graduates, and younger and male‐headed households, whereas the chronic group has more part‐time workers, high school dropouts, and older and female‐headed households. Among the declining, slowly rising and rapidly rising groups, educational background, age and sex are factors that differentiate the poverty dynamics of household members. Lastly, a number of social policies for helping low‐income households to leave and stay out of poverty are proposed.     

Food Assistance Programs and Outcomes in the Context of Welfare Reform*

Objective. Food assistance programs play an important role in meeting the basic needs of low‐income households. We consider how the Food Stamp Program (FSP), labor force participation, and food insecurity status affect outcomes of low‐income households under different program designs and economic conditions. Methods. Data from the Survey of Program Dynamics allow estimation of the effects of participation in FSP, labor market participation, and food insecurity on each other. To obtain estimates of behavioral relationships, we apply a simultaneous equation model and make a set of plausible assumptions about identification to implement the instrumental variable estimation. Results. Food insecurity has a positive effect on FSP participation, while labor force participation reduces FSP participation. Furthermore, FSP participation is more responsive to changes in the amount of program benefits than to changes in nonlabor income. Labor force participation has no direct effect on food insecurity; although not statistically significant, the effect of FSP participation on food insecurity is positive. A higher wage rate decreases FSP participation and increases participation in the labor force. Conclusion. The structural approach, which relies on particular identifying assumptions, allows us to explicity examine linkages among food program participation, labor force participation, and well‐being, measured in terms of food insecurity. The results provide evidence that among low‐income households, program parameters affect FSP participation, but no evidence that the food assistance reduces food insecurity.     

Determinants of Household Insurance Coverage Among Low‐Income Families from Boston,Chicago, and San Antonio: Evidence from the Three‐City Study*

Objectives. In this article we examine correlates of health insurance coverage for low‐income households. Methods. Using data from the Welfare, Children, and Families Project (1999–2001), a sample of 2,402 low‐income families from Boston, Chicago, and San Antonio, we estimate two logistic regressions, one that predicts health insurance coverage for one focal child in each household and another that assesses the odds that all children in the household have coverage. Results. The children of poorly‐educated, immigrant, and Mexican‐origin parents are at an elevated risk of lacking insurance. These characteristics also increase the risk of incomplete household coverage. Mexican‐origin children and households are at particularly high risk of lacking complete coverage, a fact partially reflecting their residential concentration in states with high uninsurance rates, such as Texas. Conclusions. Serious holes in the health‐care safety net affect poor Americans differently based on their state of residence, race, ethnicity, and household structure.     

Fulfilment of basic needs from a subjective point of view in rural Guatemala

Guardiola J, García‐Muñoz T. Fulfilment of basic needs from a subjective point of view in rural Guatemala Int J Soc Welfare 2011: 20: 393–403 © 2010 The Author(s), International Journal of Social Welfare © 2010 Blackwell Publishing Ltd and the International Journal of Social Welfare. The study of subjective wellbeing in developing countries is a relatively new field of research, but interest is increasing among researchers. A few decades ago, techniques such as the basic needs approach were applied in order to understand development. The basic needs framework has recently been used to define and monitor the Millennium Development Goals. However, it is limited when it comes to defining the content of basic needs and determining to what extent they are being satisfied, which leaves this decision to an external authority other than the individual. In this article, we estimated how certain indicators and assets have influenced the perception of basic needs in a rural area of Guatemala using a data set containing 369 interviews with Mayan households. The results allowed us to identify the characteristics or assets that influence the perception of basic needs, leaving the decision as to the Mayan people themselves as to whether their basic needs are being met.     

The prevalence and composition of asset poverty in Canada: 1999, 2005, and 2012

A household is considered asset poor if its assets (financial assets or net worth, taken separately) are insufficient to maintain well‐being at a low‐income threshold for 3 months. We provide the first national‐level estimates of asset poverty for Canada, using the 1999, 2005, and 2012 cycles of the Survey of Financial Security, and juxtapose these estimates with income poverty. The analysis provides new insight into economic insecurity by showing that asset poverty rates are consistently two to three times higher than income poverty rates. In addition to the prevalence of asset poverty across socio‐demographic groups, we analyzed how the composition of the poor change over time. Age and geography shape the risk for asset poverty in distinct ways. We found that while education appears to play a comparable role in shaping both income poverty and asset poverty, immigration places Canadians at a relatively higher risk of income poverty but not asset poverty. Key Practitioner Message: ? Practitioners ought to consider assets as well as income in assessing economic vulnerability; ? Asset poverty levels are 2–3 times higher than income poverty levels; ? Certain groups (e.g., immigrants) may be income poor but maintain sufficient assets.     

Can the minimum living standard guarantee scheme enable the poor to escape the poverty trap in rural China?

The rural Minimum Living Standard Guarantee (Dibao) Scheme is the most important social assistance programme in rural China. However, how the rural Dibao programme affects household expenditures and whether it can enable the poor to escape the poverty trap are questions that remain largely unexplored. This study used data from the 2012 Rural Household Survey in China to investigate the impact of the rural Dibao programme on household expenditures. We found that the programme significantly improved the well‐being of low‐income households. Particularly, the programme significantly increased household expenditures on housing, education and health; furthermore, the impact was greater for households with educated household heads. However, the programme did not significantly affect household expenditures on food, transportation or farming inputs. The results imply that participation in the rural Dibao programme induces household investment in human capital, which could help to break the inter‐generational transmission of poverty and raise long‐run welfare.     

Household empowerment as the key to eradicate poverty incidence

The current study aimed to investigate how the household empowerment can potentially reduce the rural poverty incidence. The data were collected through multistage random sampling from the rural households of 24 villages in Southern Punjab, Pakistan. A total of 600 households were selected as sample pool. Face‐to‐face interviews with the household heads were conducted. The household empowerment was measured through an index that was adopted from Abrar‐ul‐haq (“An assessment of the role of household empowerment in alleviating poverty in Southern Punjab, Pakistan” (Ph.D. Dissertation), School of Economics, Finance and Banking, Universiti Utara Malaysia, 2017). The binary logit model was used to analyze the impact of household empowerment with other control variables on poverty incidence. The results of the current study confirm the negative nexus between household empowerment and poverty incidence of rural households as the study reported that the probabilities (odds ratio: 0.877) of being poor are reduced by increasing the empowerment (in every aspect, economically, politically, and socially) of the households, and the results are statistically significant at the 1% level of significance. Based on empirical results, this study suggests that household empowerment has significant potential to reduce poverty incidence in the rural areas of Southern Punjab, Pakistan.     

Economic well‐being of low‐income single‐mother families following welfare reform in the USA

This study explored changes in net disposable income for low‐income single‐mother families before and after the 1996 welfare reform in the USA. Although many studies on welfare reform have focused on employment or total family income as a way to measure low‐income single‐mother families’ economic well‐being, little is known about their net income after expenses related to entering the workforce. This study analyzed net disposable income after tax deductions and childcare costs to provide a more accurate understanding of income changes using data from the Survey of Income and Program Participation conducted by the US Census Bureau. The results revealed that while low‐income single mothers were working more after welfare reform, their net disposable income decreased during this time because their earnings were low and offset by an increase in childcare costs and a decline in means‐tested benefits, including Temporary Assistance for Needy Families benefits. Key Practitioner Message: ● To understand effects of the 1996 welfare reform on low‐income families’ economic well‐being; ● To understand comprehensive income sources and work related expenses of low‐income families; ● To provide policy suggestions for comprehensive childcare subsidies to support low‐income single mothers’ employment.     

Accurate Understanding of China＇s Income,Consumption and Investment

从基本概念、基本用途、口径范围、资料来源和计算方法、数据表现等方面阐述资金流量表中的居民可支配收入与住户调查中的居民可支配收入之间的区别，支出法GDP中的居民消费与住户调查中的居民消费之间的区别，以及支出法GDP中的固定资本形成总额与投资统计中的全社会固定资产投资之间的区别，可以揭示出，住户调查中的居民收入和居民消费数据存在一定程度的低估，投资统计中的全社会固定资产投资数据存在一定程度的高估，但并没有直接影响到对中国国民可支配收入在居民、企业、政府三者之间的分配结构和最终需求结构等重大经济结构的准确判断。     

Accurate Understanding of China’s Income,Consumption and Investment

Abstract

This study elaborates on the differences between resident disposable income in the flow of funds table and in the household survey; between household consumption in expenditure-based GDP and in the household survey; and between gross fixed capital formation in expenditure-based GDP and total fixed asset investment in the whole country as shown in investment statistics, from the point of view of their basic concepts and purposes, scope of specifications, data sources, calculation methods and data presentation. We show that the household survey somewhat underestimates household income and consumption, while investment statistics somewhat overestimate total investment in fixed assets. This does not, however, directly affect the accurate understanding of such major economic structures as the structure of the distribution of Chinese nationals’ disposable income among households, enterprises and government, the structure of final demand, etc.     

Children's and adults' perceptions of child necessities in Hong Kong

There is growing interest in child poverty and well‐being in East Asia. However, empirical studies predominantly adopt “expert‐led” measures (such as adult‐derived child deprivation measures), which usually assume that parents or guardians provide reliable reports about all their children's needs and that the allocation of household resources is effectively equal across all members. Studies of child poverty from a child‐rights or child‐agency perspective are rare in East Asia. Using a consensual deprivation approach, this article examines the extent of agreement between children and adults about which child possessions and activities constitute necessities of life in Hong Kong. The data are drawn from the second wave of the Strategic Public Policy Research project—Trends and Implications of Poverty and Social Disadvantages in Hong Kong: A Multi‐disciplinary and Longitudinal Study. A total of 595 adults and 636 school‐aged children from the first wave of the study were reinterviewed and asked if they considered 16 possessions and activities as essential for children in contemporary Hong Kong. The results showed that adults were significantly more likely to believe that almost all material and social deprivation items were necessities compared with their children, even after controlling for individual‐level factors (i.e., gender and birthplace) and household‐level factors (i.e., number of children in the household, number of working adults, and household income). The findings highlight the importance of incorporating children's views into our understanding of child poverty.     

Agricultural policy in Madagascar: A seasonal multi-market model

The purpose of this note is to illustrate how a generic multi-market model can be adapted to the circumstances of a particular developing country to assess the impact of alternative agricultural policies on the well being of households. We describe the main features and results of a multi-market model for Madagascar that focuses on income generating activities in an agricultural sector that is characterized by seasonal variability. We find evidence that investments in rural infrastructure and commercial food storage have both direct and indirect benefits on poor households.     

Determining Semi-Normative Poverty Lines Using Social Survey Data

Debates about how to set minimum income standards for health and general well-being are very current in Britain. Family budget standards remain popular but the results can be criticized for being little more than abstractions. They are to an extent 'artificial' and this raises questions about their 'real adequacy'. Another way to operationalize adequacy of income, in a lived sense, is to consider the household income levels at which a specified, desirable, healthy standard of living is in fact achieved, indicated here by diet and nutrition. Data are taken from the United Kingdom's Expenditure and Food Survey; the sample has been restricted to an older population, and three years of data (2002–5) provided a combined sample of 4,300 households. The study findings and semi-normative poverty lines are critically discussed in relation to the national UK policy context as well as the international research literature on poverty measurement.     

Events that Trigger Poverty Entries and Exits*

Objective. This article examines how events—such as changes in household composition, employment status, disability status, and economic conditions—affect poverty entries and exits. We also examine whether the role these events play in poverty transitions differs in the pre‐ and post‐welfare‐reform periods. Methods. The analysis uses discrete‐time multivariate hazard models along with monthly, longitudinal data from the 1988, 1990, and 1996 panels of the Survey of Income and Program Participation (SIPP). Results. Analyses show that many events are related to the likelihood of entering and exiting poverty. Of the trigger events examined, individuals living in households that experience a loss or gain of employment are the most likely to enter and exit poverty. We also find that changes in employment are more important in the 1996 to 1999 time period—after welfare reform—than in the 1988 to 1992 time period—prior to welfare reform. Finally, changes in household composition, disability status, and educational attainment are found to play a role in throwing people into poverty and helping them exit from poverty in both time periods. Conclusions. There is no single path into or out of poverty, suggesting that multiple policies can be considered to help alleviate poverty.     

The effects of income transfers on poverty reduction in people with disabilities in South Korea

Using a nationally representative sample dataset from the 2016 Korean Welfare Panel Study, we examined the anti‐poverty effects of income transfers in people with disabilities. Our findings indicate that in households with a person with a disability, income transfers decreased by 55.9% and 84.8% of the pre‐transfer poverty rate and poverty gap, respectively. Before income transfers, households with a person with a disability were 1.94 times more likely to be poor compared to those without a person with a disability. When income transfers were offered, the chance of being poor in the disability group was only 1.11 times higher than that in the non‐disability group. Findings from the aggregated data suggest that means‐tested income transfers were more effective in reducing poverty levels than social insurance or private income transfers. At the individual level, the provision of means‐tested programs was also more likely to decrease the likelihood of experiencing poverty than social insurance and private income transfers.     

Reverse Mortgage as an Income Stabilizer for the Elderly in Korea

This paper examines the features of reverse mortgages in Korea, comparing beneficiary and non‐beneficiary groups in relation to income security for elderly homeowners without sufficient income. In addition, this study estimates how much poverty rates would decrease if all elderly single and couple households joined the program. A reverse mortgage was implemented in 2007 in Korea as a government guaranteed scheme for elderly homeowners. Notwithstanding the contribution of the reverse mortgage program, many elderly homeowners do not utilize the system as a useful means to earn additional income. Given the high elderly poverty rate and incomplete social safety net in Korea, the program should be extended to supplement the insufficient income of elderly “house‐rich but cash‐poor” households. The paper first reviews reverse mortgage policy details. We then investigate key characteristics of the beneficiaries and compare beneficiaries and non‐beneficiaries based on nationwide survey data. Finally, we estimate the potential income‐raising effects of the program and draw implications of the income security policy in Korea and reconfiguration of the welfare state in a broader context.     

Disaster preparedness among households in the Badakhshan Province in Afghanistan: A baseline evaluation study

This paper presents a critical analysis of the level of disaster preparedness among households in the Badakhshan Province in Afghanistan. Based on an analysis of baseline data collected as part of a project aimed at strengthening the disaster response in this province, this paper emphasizes the complexities of disaster preparedness among Afghan households, including a critical gap in knowledge, a lack of resources, and limitations in existing community responses to disasters. The findings reveal that less economic security, less knowledge of emergencies and emergency plans, being a female head of household, and having prior disaster experience tended to predict lower levels of preparedness among households. Disaster‐preparedness interventions targeted at improving the knowledge of hazards and hazard plans, as well as enhancing the livelihood and income security of affected households, could minimize the negative impact of disasters. Because most households relied on social networks and indigenous preparedness measures, future research should examine the nature of such measures and their effectiveness in mitigating the impact of disasters on this population.     

Heterogeneous impacts of provincial governance on household welfare in Vietnam

This study investigated the role of provincial governance in the growth of per capita income of Vietnamese households, using a balanced panel data set for the period 2012–2014. Although we found no evidence for the influence of provincial governance when a linear fixed‐effect regression estimator was used, the results from a fixed‐effect quantile regression estimator revealed that provincial governance has a positive effect on all groups (but not the poorest) and that the effect tends to be greater for better‐off households. In addition, we found that wage employment plays a larger role in the income growth of poorer households, whereas returns on education are greater for richer households. The findings suggest that a mean regression approach that looks only a t the role of explanatory variables on mean household welfare, and does not consider differences in the distribution of household welfare, may miss some heterogeneity that is of interest to policymakers. Key Practitioner Message: ? Using a quantile regression approach has allowed the current study to provide new insight into the role of household‐related factors in household welfare. ? Finding shows that good governance tends to provide greater benefits to richer households than to other groups in the population.