The Effect of Household Characteristics on Poverty and Living Standards in South Africa

Pushkar Maitra

Journal of Economic Development, 2002, vol. 27, issue 1, 75-96

Abstract: This paper uses panel data from South Africa to examine the effect of household characteristics on poverty and living standards and how they have changed over the five years following the dismantling of apartheid. I estimate the standard of living using two alternative methodologies. First, I use probit analysis to examine the poverty status of the household. Second I use quantile regressions to examine the standard of living of the household at different points on the income distribution. The main measure of the standard of living is per adult equivalent household income, which adjusts household income by the scale and composition adjusted household size. The estimation results show that the sex of the household head, the education attainment of the household head, ethnicity and region of residence have significant effects on both the poverty status and standard of living of the household.

Date: 2002
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