Coherent Multidimensional Poverty Measurement

Gaël Giraud

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Abstract: This paper presents a family of multidimensional poverty indices that measure poverty as a function of the extent and the intensity of poverty. I provide a unique axiomatics from which both extent and intensity of poverty can be derived, as well as the poor be endogenously identified. This axiomatics gives rise to a family of multidimensional indices whose extremal points are the geometric mean and the Maximin solution. I show that, in addition to all the standard features studied in the literature, these indices are continuous (a must for cardinal poverty measures) and ordinal, in the sense that they do not depend upon the units in which dimensions of achievements are computed. Moreover, they verify the decreasing rate marginal substitution property : the higher one's deprovation (or the extent of poverty) in one dimension, the smaller the increase of achievement in that dimension that suffices to compensate for a decrease of achievement in another dimension.

Keywords: Multidimensional poverty; geometric mean; maximin solution; utilitarian solution; endogenous identification; coherence; continuity; decreasing marginal rate of substitution; cardinal date; ordinality; relative weights; Pauvreté multidimensionnelle; moyenne géométrique; solution Maximin; solution utilitariste; identification endogène; continuité; taux marginal de substitution décroissant; donnée cardinale; ordinalité; poids relatifs (search for similar items in EconPapers)
Date: 2012-12
Note: View the original document on HAL open archive server: https://shs.hal.science/halshs-00785629v1
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Published in 2012

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Related works:
Working Paper: Coherent Multidimensional Poverty Measurement (2012)
Working Paper: Coherent Multidimensional Poverty Measurement (2012)
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Persistent link: https://EconPapers.repec.org/RePEc:hal:journl:halshs-00785629

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