Characterization of Multidimensional Poverty Score in Mexico: A Method Based on Fuzzy Set Approach

Valérie Berenger, Cuauhtemoc CALDERON VILLARREAL () and Franck Celestini

The Icfai Journal of Applied Economics, 2007, vol. VI, issue 5, pages 70-99

Abstract: The main purpose of this paper is to propose a new method based on the fuzzy set approach that makes it possible to define a multidimensional poverty score lying between zero and infinity, as for income. Defining poverty as an accumulation of deprivations in various aspects of living conditions, this method is applied using the data from the XII Census of Mexico (INEGI) 2000 for 29 states. In comparison to the previous exponential distribution function estimated for the case of France, the results obtained here facilitates building a typology of poverty. The analysis of the relationship between the poverty score, income and the marginality index permits to underline the chronic or the structural nature of poverty according to the state considered and to derive policy implications to reduce poverty.

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