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Working poverty, social exclusion and destitution: An empirical study

Partha Gangopadhyay (), Sriram Shankar () and Mustafa A. Rahman

Economic Modelling, 2014, vol. 37, issue C, 241-250

Abstract: In economics destitution is traditionally interpreted as a product of labour market exclusion. Our work departs from the dominant models of poverty by considering destitution among a specific category of workers known as the working poor. Low wages and job insecurity in the informal sector in developing economies can create and perpetuate destitution among the working poor. Our precise contributions are three-fold: first, in order to understand causes and consequences of destitution, we develop an index of destitution from social exclusion of the working poor. Secondly, we test the predictions of this index by using micro-data collected from a sample survey in Bangladesh. Thirdly, from the micro-data we not only offer insights into the sources of destitution but also explain the factors that prevent the working poor from falling into the traps of destitution.

Keywords: Destitution among working poor; Indicators of destitution; MIMIC model of destitution (search for similar items in EconPapers)
JEL-codes: C62 C72 J23 J30 Q12 O12 (search for similar items in EconPapers)
Date: 2014
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DOI: 10.1016/j.econmod.2013.11.001

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