The income and consumption approach to unidimensional poverty measurement

Massimo Aprea and Michele Raitano

Chapter 1 in Research Handbook on Measuring Poverty and Deprivation, 2023, pp 8-18 from Edward Elgar Publishing

Abstract: In this chapter we compare, both on theoretical and empirical grounds, the income and consumption approaches to unidimensional poverty measurement. After reviewing the benefits and the drawbacks of using income or consumption as money-metrics of wellbeing, we turn to an empirical application to highlight the different implications of both approaches: using a novel dataset for Italy that jointly records individuals’ detailed consumption expenditure and incomes, we compare poverty incidence and composition of the group of the poor according to different resource concepts.

Keywords: Development Studies; Economics and Finance; Geography; Research Methods; Sociology and Social Policy (search for similar items in EconPapers)
Date: 2023
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