Poverty Measurement in the Presence of a ‘Group-Affiliation’ Externality

S. Subramanian ()
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S. Subramanian: Independent Scholar

Chapter Chapter 10 in Social Values and Social Indicators, 2021, pp 111-123 from Springer

Abstract: Abstract This paper considers the implications for poverty measurement of the observed fact that any individual’s level of deprivation is a function not only of his own income, but of the general level of prosperity of the group to which he is affiliated. Individual deprivation functions are specialized to a form which reflects this ‘group-affiliation’ externality, and the resulting poverty measure is studied with respect to its properties and its implications for poverty rankings. Mainstream approaches to measuring deprivation tend to neglect group-related externalities in favour of a certain thorough-going ‘individualism’. This paper is a preliminary attempt at filling this gap.

Keywords: Groups; Group affiliation; Externality; Poverty axioms (search for similar items in EconPapers)
Date: 2021
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Persistent link: https://EconPapers.repec.org/RePEc:spr:thechp:978-981-16-0428-7_10

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DOI: 10.1007/978-981-16-0428-7_10

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