A behavioural analysis of the subsistence standard of living

Mohammed Sharif

Cambridge Journal of Economics, 2003, vol. 27, issue 2, 191-207

Abstract: Subsistence is analysed as an endogenous variable, contrary to its conventional exogenous treatment. It is postulated that the subsistence-livers perceive their own standard of subsistence, direct their earnings behaviour towards attaining, maintaining or exceeding this standard and, thus, reveal the standard through this behaviour. The labour supply function of the working poor, which displays a forward-falling segment at low wages and an upward-rising segment at higher wages, is hypothesised to offer measures of subsistence and survival standards. The concepts are rationalised using Sen's concept of 'freedom of choice' and Arrow's concept of 'freedom as flexibility'. It is argued that at below-subsistence living, individuals lack freedom of flexibility in choosing their preferences and thus suffer the loss of freedom of choice--while subsistence offers a reasonable minimum of this freedom, the freedom is completely lost at the lowest survival standard. Copyright 2003, Oxford University Press.

Date: 2003
References: Add references at CitEc
Citations: View citations in EconPapers (4)

There are no downloads for this item, see the EconPapers FAQ for hints about obtaining it.

Related works:
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:oup:cambje:v:27:y:2003:i:2:p:191-207

Ordering information: This journal article can be ordered from
https://academic.oup.com/journals

Access Statistics for this article

Cambridge Journal of Economics is currently edited by Jacqui Lagrue

More articles in Cambridge Journal of Economics from Cambridge Political Economy Society Oxford University Press, Great Clarendon Street, Oxford OX2 6DP, UK.
Bibliographic data for series maintained by Oxford University Press ().