Chronic and Transient Poverty: Measurement and Estimation, with Evidence from China

John Giles, Abdelkrim Araar and Jean-Yves Duclos

Working Papers from eSocialSciences

Abstract: The paper contributes to the measurement of poverty and vulnerability in three ways. First, we propose a new approach to separating poverty into chronic and transient components. Second, we provide corrections for the statistical biases introduced when using a small number of periods to estimate the importance of vulnerability and transient poverty. Third, we apply these tools to the measurement of chronic and transient poverty in China using a rich panel data set that extends over approximately 17 years. We find that alternative measurement techniques yield significantly different estimates of the relative importance of chronic and transient poverty, and that precision of estimates is enhanced with simple statistical corrections.

Keywords: poverty dynamics; transient poverty; chronic poverty; permanent poverty; China; measurement and estimation; economic policy; poverty; Jalan and Ravallion; EDE poverty gaps; Bootstrap bias (search for similar items in EconPapers)
Date: 2016-08
Note: Institutional Papers
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Related works:
Journal Article: Chronic and transient poverty: Measurement and estimation, with evidence from China (2010)
Working Paper: Chronic and Transient Poverty: Measurement and Estimation, with Evidence from China (2006)
Working Paper: Chronic and Transient Poverty: Measurement and Estimation, with Evidence from China (2006)
Working Paper: Chronic and Transient Poverty: Measurement and Estimation, with Evidence from China (2006)
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