Alternative measures of poverty in Greater Buenos Aires, 1995-2006

Authors

  • Francisco J. Ciocchini Pontificia Universidad Católica Argentina
  • Gabriel Molteni Pontificia Universidad Católica Argentina

Keywords:

Poverty, poverty rates, poverty rate, poverty gap, severity of poverty

Abstract

In this article, we calculate and analyze the Poverty Severity Index or Squared Poverty Gap for the Greater Buenos Aires Area, during the period 1995-2006. This index is one of the measures of the FGT class (Foster, Greer and Thorbecke 1984), although it is not used as frequently as the Poverty Incidence Index or Head Count Ratio (used by INDEC), and the Poverty Gap. The Poverty Severity Index captures not only the distance of the incomes of the poor from the poverty line (like the poverty gap) but also the degree of inequality among the poor. It gives a higher weight to households with incomes further away from the poverty line and, unlike
the other two measures, it satisfies the transfer axiom.
We calculate the Severity Index at both household and individual levels, and decompose this index by labor status, education level, household size, age, and sex of the household head. We also compare the incidence and severity indexes. We conclude by presenting the incidence and severity indexes for the whole country, and their decompositions by region, for 2006.

Downloads

References

Albornoz, F. and Petrecolla, D. (1996). "Medidas Alternativas De La Pobreza Por Ingresos Para El Gran Buenos Aires, 1980-1995", Económica, 42(1-2).

Anand, S. (1977). "Aspects of Poverty in Malaysia", Review of Income and Wealth, 23, pp. 1-16.

Atkinson, A. B. (1991). "Comparing Poverty Rates Internationally: Lessons from Recent Studies in Developed Countries", The World Bank Review, 5(1), pp. 3-21.

Atkinson, A. B. (1993). "The Institution of an Official Poverty Line and Economic Policy", The Welfare State Programme, Discussion Paper, STICERD/London School of Economics, 98.

Beccaria, L. and Minujin, A. (1991). "Sobre La Medición De La Pobreza: Enseñanzas a Partir De La Experiencia Argentina", Documento de Trabajo UNICEF Argentina, 8.

Beccaria, L.; Feres, J.C. and Sainz, P. (1999). "Medición De La Pobreza: Situación Actual De Los Conceptos Y Métodos", 4to Taller Regional del MECOVI.

Blackorby, C. and Donaldson, D. (1980). "Ethical Indices for the Measurement of Poverty", Econometrica, 48(4).

Bourguignon, F. and Chadravarty, S. R. (2003). "The Measurement of Multidiimensional Poverty", Journal of Economic Inequality, 1, pp. 25-49.

Busso, M.; Cerimedo, F. and Cicowiez, M. (2005). "Pobreza, Crecimiento Y Desigualdad: Descifrando La Ultima Década En Argentina", Documento de Trabajo CEDLAS, 21.

Bustelo, M. and Lucchetti, L. (2004). "La Pobreza En Argentina: Perfil, Evolución Y Determinantes Profundos (1996, 1998 Y 2001)", Documento de Trabajo CEDLAS, 2004, 7.

CEPAL (2006). "Panaroma Social De América Latina", Santiago de Chile: Comisión Económica para América Latina y el Caribe, 2006.

Chakraborty, A.; Pattanaik, P. K. and Xu, Y. (2002). "On the Structure of Some Measures of Deprivation", Working Paper 02-05 - University of California Riverside.

Chadravarty, S. R. (1981). "On Measurement of Income Inequality and Poverty", Indian Statistical Institute.

Clark, S.; Hemming, R. and Ulph, D. (1981). "On Indices for the Measurement of Poverty", The Economic Journal, 91(362), pp. 515-26.

Coudouel, A.; Hentschel, J. S. and Wodon, Q. T. (2002). "Poverty Measurement and Analysis", J. Klugman, A Sourcebook for Poverty Reduction Strategies. Washington, D.C.: The World Bank.

Crosta, F. (2001). "La Medición De La Pobreza En La Argentina. Revisión Metodológica Y Estimaciones", Anales de la AAEP.

Datt, G. and Ravallion, M. (1992). "Growth and Redistribution Components of Changes in Poverty Measures: A Decomposition with Applications to Brazil and India in the 1980s", Journal of Development Economics, 28, pp. 275-95.

Deaton, A. (1997). The Analysis of Household Surveys. Washington D.C.: Johns Hopkins University Press.

Dutta, I. and Pattanaik, P. K. (2000). "Housing Deprivation in a Village in Orissa", Journal of Quantitative Economics, 16(1), pp. 145-75.

Ebert, U. and Moyes, P. (2002). "A Simple Axiomatization of the Foster, Greer and Thorbecke Poverty Orderings", Journal of Public Economic Theory, 4(4), pp. 455-73.

Felcman, D.; Kidyba, S. and Rufo, H. (2003). "Medición Del Ingreso Laboral: Ajustes a Los Datos De La Encuesta Permanente De Hogares Para El Análisis De La Distribución Del Ingreso (1993-2002)", Asociación Argentina de Economía Política.

Feres, J.C. (1999). "Notas Sobre La Medición De La Pobreza Según El Método Del Ingreso", 4to Taller Regional del MECOVI.

Foster, J. E.; Greer, J. and Thorbecke, E. (1984). "A Class of Decomposable Poverty Measures", Econometrica, 52(3), pp. 761-66.

Foster, J. E. (1998). "Absolute Versus Relative Poverty", The American Economic Review, 88(2), pp. 335-41.

Frey, B. and Stutzer, A. (2002a). "The Economics of Happiness", World Economics, 3(1).

Frey, B. and Stutzer, A. (2002b). "What Can Economists Learn from Happiness Research?", Journal of Economic Literature,40(2).

Gasparini, L.; Marchioni, M. and Sosa Escudero, W. (2000) "La Distribución Del Ingreso En La Argentina Y En La Provincia De Buenos Aires." Cuadernos de Economía, Ministerio de Economía de la Provincia de Buenos Aires, 49.

Gontero, S. (2004). "Cuáles Son Las Limitaciones De Las Estadísticas De Pobreza En Argentina?", Córdoba: Instituto de Economía y Finanzas, Universidad Nacional de Córdoba.

Greer, J. and Thorbecke, E. (1986) "A Methodology for Measuring Food Poverty Measures." Econometrica, 52(3), pp. 761-66.

Herrera, J. (2002). "La Pobreza En El Perú En El 2001. Una Visión Departamental", Lima, Perú: Institut de Recherche Pour le Développment.

INDEC (2000). "La Necesidades Básicas Insatisfechas: Sus Deficiencias Técnicas Y Su Impacto En La Definición De Políticas Sociales," 5to Taller Regional del MECOVI.

Kakwani, N. C. (1980). "On a Class of Poverty Measures", Econometrica, 48, pp. 437-46.

Kakwani, N. C. (1994). "Poverty Measurement and Hypothesis Testing," J. Creedy, Taxation, Poverty and Income Distribution. England Edward Elgar.

Kakwani, N. C. (1997). "Growth Rates of Per-Capita Income and Aggregate Welfare: An International Comparison", Review of Economics and Statistics, 79(2), pp. 201-11.

Kendall, M. G. and Stuart, A. (1963). The Advanced Theory of Statistics. New York: Hafner Publishing.

Lipton, M. and Ravallion, M. (1995). "Poverty and Policy", J. Behrman and T. N. Srinivasan, Handbook of Development Economics. Amsterdam: North-Holland.

Llach, J. J. and Montoya, S. (1999). En Pos De La Equidad. La Pobreza Y La Distribución Del Ingreso En El Area Metropolitana De Buenos Aires: Diagnóstico Y Alternativas De Propuesta. Buenos Aires: IERAL.

Madden, D. (2000). "Relative or Absolute Poverty Lines: A New Approach", Review of Income and Wealth, 46(2), pp. 18-99.

Mahmoudi, V. (2001). "Growth-Equity Decomposition of a Change in Poverty: An Application to Iran," Helsinki: UNU/WIDER Development Conference on Growth and Poverty.

MECON (2003). "Población Indigente Y Pobre En El Total Urbano. Metodología Alternativa", Buenos Aires: Dirección Nacional de Coordinación de Políticas Macroeconómicas. Ministerio de Economía de la Nación.

Mitchell, A. (2000). "El Nivel De Pobreza En La Argentina, 1988-1998: El Efecto De Usar Líneas De Pobreza E Indices De Pobreza Alternativos," Buenos Aires: ITDT-Seminario sobre Pobreza y Distribución del Ingreso.

Mitnik, O. and Montoya, S. (1993). "La Pobreza Urgana En Argentina. El Caso Del Gran Buenos Aires", Estudios, 16(65).

Mitnik, O. and Montoya, S. (1995). "Pobreza Y Distribución Del Ingreso: Dinámica Y Características Gran Buenos Aires, 1974-1994", Estudios, 18.

Montoya, S. and Olivero, M. (1998). "Claves Para Reducir La Pobreza Agregada Disminuyendo Las Disparidades Regionales. Argentina 1990-1997", Estudios, 20(85).

Morales, E. (1988). "Canasta Básica De Alimentos - Gran Buenos Aires", Documento de Trabajo INDEC/IPA, 3.

Ojeda, S.; Pereyra, L. and Gontero, S. (2005). "La Pobreza En Los Hogares Del Gran Córdoba: Aplicación Del Modelo De Regresión Logística." Revista de Economía y Estadística, 43(1).

Orshansky, M. (1965). "Counting the Poor: Another Look at the Poverty Profile", Social Security Bulletin, 28, pp. 3-29.

Pradhan, M. and Ravallion, M. (2000). "Measuring Poverty Using Qualitative Perceptions of Consumption Adequacy", Review of Economics and Statistics, 82(3).

Pyatt, G. (1987). "Measuring Welfare, Poverty and Inequality", The Economic Journal, 97(June).

Ravallion, M. (1996). "Issues in Measuring and Modelling Poverty", Economic Journal, 106, pp. 1328-43.

Ravallion, M. and Huppi, M. (1991). "Measuring Changes in Poverty: A Methodological Case Study of Indonesia During an Adustment Period", World Bank Eonomic Review, 5(1), pp. 57-82.

Ravallion, M. and Bidani, B. (1994). "How Robust Is a Poverty Profile", World Bank Eonomic Review, 8(1), pp. 75-102.

Rio Group (2006). "Compendium of Best Practices in Poverty Measurement", Rio de Janeiro: Expert Group on Poverty Statistics.

Sen, A. K. (1976). "Poverty: An Ordinal Approach to Measurement", Econometrica, 44, pp. 219-31.

Sen, A. K. (1977). “Social Choice Theory: A Re-Examination”, Econometrica, 45(1), pp. 53-89.

Sen, A. K. (1979). "Issues in the Measurement of Poverty", Scandinavian Journal of Economics, 95, pp. 116-37.

Sen, A. K. (1981). Poverty and Famines. An Essay on Entitlement and Deprivation. Clarendon Press.

Streeten, P. (1981). First Things First: Meeting Basic Human Needs in Developing Countries. New York: Oxford University Press.

Takayama, N. (1979). "Poverty, Income Inequality, and Their Measures: Professor Sen's Axiomatic Approach Reconsidered", Econometrica, 47.

Thon, D. (1979). "On Measuring Poverty", Review of Income and Wealth, 25, pp. 429-40.

UNDP (1990). "Human Development Report", New York: Oxford University Press.

Van Praag, B. M. S.; Fritjers, P. and Ferrer-i-Carbonell, A. (2003). "The Anatomy of Subjective Well-Being." Journal of Economic Behavior & Organization, 51.

Watts, H. (1968). "An Economic Definition of Poverty," D. P. Moynihan, On Understanding Poverty. New York: Basic Books.

Wodon, Q. T. (1997). "Food Energy Intake and Cost of Basic Needs: Measuring Poverty in Bangladesh." Journal of Development Studies, 34(2), pp. 66-101.

Zheng, B. (2000). "Minimum Distribution-Sensitivity, Poverty Aversion, and Poverty Orderings", Journal of Economic Theory, 95, pp. 116-37.

Published

11/12/2019

How to Cite

Ciocchini, F. J., & Molteni, G. (2019). Alternative measures of poverty in Greater Buenos Aires, 1995-2006. Ensayos De Política Económica, 1(2), 46–82. Retrieved from https://e-revistas.uca.edu.ar/index.php/ENSAYOS/article/view/2450