EconPapers    
Economics at your fingertips  
 

Dynamic Poverty Decomposition Analysis: An Application to the Philippines

Tomoki Fujii ()

World Development, 2017, vol. 100, issue C, 69-84

Abstract: In this paper, we propose a new method of poverty decomposition. Our method remedies the shortcomings of existing methods and has some desirable properties such as time-reversion consistency and subperiod additivity. Our decomposition integrates the existing methods of growth-redistribution decomposition and sector-based decomposition, because it allows us to decompose the change in poverty into growth and redistribution components for each group (e.g., regions or sectors) in the economy. Our decomposition works well in cases where only partial data are available for some periods. It is also flexible and can be extended to have the following six components: population shift, within-region redistribution, between-region redistribution, nominal growth, inflation, and methodological change components. The empirical application of the six-way decomposition to the Philippines for the period 1985–2009 shows that important policies for poverty reduction may differ across regions. For example, the Autonomous Region in Muslim Mindanao would need growth-enhancing policies, whereas Eastern Visayas would need policies to improve the income distribution. Our decomposition method has a wide applicability and may complement the poverty profile approach.

Keywords: poverty profile; inequality; growth; inflation; Philippines; Asia (search for similar items in EconPapers)
Date: 2017
References: View references in EconPapers View complete reference list from CitEc
Citations: Track citations by RSS feed

Downloads: (external link)
http://www.sciencedirect.com/science/article/pii/S0305750X17302607
Full text for ScienceDirect subscribers only

Related works:
Working Paper: Dynamic Poverty Decomposition Analysis: An Application to the Philippines (2014) Downloads
Working Paper: Dynamic Poverty Decomposition Analysis: An Application to the Philippines (2012) Downloads
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:eee:wdevel:v:100:y:2017:i:c:p:69-84

Access Statistics for this article

World Development is currently edited by O. T. Coomes

More articles in World Development from Elsevier
Bibliographic data for series maintained by Dana Niculescu ().

 
Page updated 2019-10-01
Handle: RePEc:eee:wdevel:v:100:y:2017:i:c:p:69-84