Evaluating poverty duration and transition: a spell-approach to rural China

Jing You

Applied Economics Letters, 2011, vol. 18, issue 14, 1377-1382

Abstract: This article uses a discrete-time multivariate duration model to study poverty transition in rural China between 1989 and 2006. The analysis identifies nonlinear negative duration-dependence for both exit and re-entry rates of poverty. There is significant difference in hazard rates of exit and re-entry associated with geographic location and educational level of households, but less related to gender, occupation or ethnic background of household head. The factors facilitating households' ending a poverty spell are found to be education, land ownership, asset accumulation, health insurance and outmigration, whereas larger family size and dependence ratio may reduce the chance of exit.

Date: 2011
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DOI: 10.1080/13504851.2010.537625

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