Opportunity-Sensitive Poverty Measurement

This paper offers an axiomatic characterization of two classes of poverty measures that are sensitive to inequality of opportunity, one a strict subset of the other. The proposed indices are sensitive not only to income shortfalls from the poverty...

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Main Authors:	Brunori, Paolo, Ferreira, Francisco, Lugo, Maria Ana, Peragine, Vito
Format:	Policy Research Working Paper
Language:	English en_US
Published:	World Bank, Washington, DC 2014
Subjects:	ABSOLUTE VALUE AGGREGATE POVERTY AVERAGE INCOME AVERAGE INCOMES CHANGES IN POVERTY CONFLICT CONSUMPTION EXPENDITURES COUNTERFACTUAL CROSS-COUNTRY DIFFERENCES CUMULATIVE DISTRIBUTION DECOMPOSABLE POVERTY DECOMPOSABLE POVERTY MEASURES DENSITY FUNCTION DESCRIPTIVE STATISTICS DEVELOPED COUNTRIES DEVELOPMENT POLICY DIMENSIONAL POVERTY DISPOSABLE INCOME DISTRIBUTION EFFECT DISTRIBUTION FUNCTION DISTRIBUTION FUNCTIONS ECONOMIC INEQUALITY ECONOMIC PERFORMANCE ECONOMIC POLICY EMPIRICAL ANALYSIS EMPIRICAL APPLICATION EMPIRICAL RESULTS EX-ANTE INEQUALITY EXCHANGE RATES HEADCOUNT POVERTY HIGH COST HOUSEHOLD HEADS HOUSEHOLD INCOME HOUSEHOLD INCOMES HOUSEHOLD NEEDS HOUSEHOLD SIZE HUMAN CAPITAL INCOME INCOME DIFFERENCES INCOME DISTRIBUTION INCOME DISTRIBUTIONS INCOME INCREASE INCOME LEVELS INCOME POVERTY INCOME TRANSFER INCOME-POVERTY INCREASE POVERTY INCREASING FUNCTION INEQUALITY INEQUALITY AVERSION INEQUALITY MEASUREMENT LABOR MARKET MAXIMUM INCOME MEAN INCOME MEAN INCOMES MEASUREMENT OF POVERTY MEASURING INEQUALITY MINIMUM LEVEL POLICY DISCUSSIONS POLICY IMPLICATIONS POLICY RESEARCH POOR POOR COUNTRY POOR INDIVIDUALS POPULATION COMPOSITION POPULATION SHARE POVERTY COMPARISONS POVERTY GAP POVERTY HEADCOUNT POVERTY INCIDENCE POVERTY INDEX POVERTY INDICES POVERTY LEVEL POVERTY LEVELS POVERTY LINE POVERTY LINES POVERTY MEASURE POVERTY MEASUREMENT POVERTY MEASURES POVERTY RANKINGS POVERTY RATE POVERTY RATES POVERTY STATUS POVERTY THRESHOLD PUBLIC ECONOMICS RELATIVE POVERTY SOCIAL POLICY
Online Access:	http://documents.worldbank.org/curated/en/2013/12/18674559/opportunity-sensitive-poverty-measurement http://hdl.handle.net/10986/16944

id	okr-10986-16944
recordtype	oai_dc
spelling	okr-10986-169442021-04-23T14:03:33Z Opportunity-Sensitive Poverty Measurement Brunori, Paolo Ferreira, Francisco Lugo, Maria Ana Peragine, Vito ABSOLUTE VALUE AGGREGATE POVERTY AVERAGE INCOME AVERAGE INCOMES CHANGES IN POVERTY CONFLICT CONSUMPTION EXPENDITURES COUNTERFACTUAL CROSS-COUNTRY DIFFERENCES CUMULATIVE DISTRIBUTION DECOMPOSABLE POVERTY DECOMPOSABLE POVERTY MEASURES DENSITY FUNCTION DESCRIPTIVE STATISTICS DEVELOPED COUNTRIES DEVELOPMENT POLICY DIMENSIONAL POVERTY DISPOSABLE INCOME DISTRIBUTION EFFECT DISTRIBUTION FUNCTION DISTRIBUTION FUNCTIONS ECONOMIC INEQUALITY ECONOMIC PERFORMANCE ECONOMIC POLICY EMPIRICAL ANALYSIS EMPIRICAL APPLICATION EMPIRICAL RESULTS EX-ANTE INEQUALITY EXCHANGE RATES HEADCOUNT POVERTY HIGH COST HOUSEHOLD HEADS HOUSEHOLD INCOME HOUSEHOLD INCOMES HOUSEHOLD NEEDS HOUSEHOLD SIZE HUMAN CAPITAL INCOME INCOME DIFFERENCES INCOME DISTRIBUTION INCOME DISTRIBUTIONS INCOME INCREASE INCOME LEVELS INCOME POVERTY INCOME TRANSFER INCOME-POVERTY INCREASE POVERTY INCREASING FUNCTION INEQUALITY INEQUALITY AVERSION INEQUALITY MEASUREMENT LABOR MARKET MAXIMUM INCOME MEAN INCOME MEAN INCOMES MEASUREMENT OF POVERTY MEASURING INEQUALITY MINIMUM LEVEL POLICY DISCUSSIONS POLICY IMPLICATIONS POLICY RESEARCH POOR POOR COUNTRY POOR INDIVIDUALS POPULATION COMPOSITION POPULATION SHARE POVERTY COMPARISONS POVERTY GAP POVERTY HEADCOUNT POVERTY INCIDENCE POVERTY INDEX POVERTY INDICES POVERTY LEVEL POVERTY LEVELS POVERTY LINE POVERTY LINES POVERTY MEASURE POVERTY MEASUREMENT POVERTY MEASURES POVERTY RANKINGS POVERTY RATE POVERTY RATES POVERTY STATUS POVERTY THRESHOLD PUBLIC ECONOMICS RELATIVE POVERTY SOCIAL POLICY This paper offers an axiomatic characterization of two classes of poverty measures that are sensitive to inequality of opportunity, one a strict subset of the other. The proposed indices are sensitive not only to income shortfalls from the poverty line, but also to differences in the opportunities faced by people with different predetermined characteristics, such as race or family background. Dominance conditions are established for each class of measures and a sub-family of scalar indices, based on a rank-dependent aggregation of type-specific poverty levels, is also introduced. In empirical analysis using household survey data from eighteen European countries in 2005, substantial differences in country rankings based on standard Foster-Greer-Thorbecke indices and on the new opportunity-sensitive indices are found. Cross-country differences in opportunity-sensitive poverty are decomposed into a level effect, a distribution effect, and a population composition effect. 2014-02-05T20:14:12Z 2014-02-05T20:14:12Z 2013-12 http://documents.worldbank.org/curated/en/2013/12/18674559/opportunity-sensitive-poverty-measurement http://hdl.handle.net/10986/16944 English en_US Policy Research Working Paper;No. 6728 CC BY 3.0 IGO http://creativecommons.org/licenses/by/3.0/igo/ World Bank World Bank, Washington, DC Publications & Research :: Policy Research Working Paper Publications & Research Africa Eastern Europe European Union
repository_type	Digital Repository
institution_category	Foreign Institution
institution	Digital Repositories
building	World Bank Open Knowledge Repository
collection	World Bank
language	English en_US
topic	ABSOLUTE VALUE AGGREGATE POVERTY AVERAGE INCOME AVERAGE INCOMES CHANGES IN POVERTY CONFLICT CONSUMPTION EXPENDITURES COUNTERFACTUAL CROSS-COUNTRY DIFFERENCES CUMULATIVE DISTRIBUTION DECOMPOSABLE POVERTY DECOMPOSABLE POVERTY MEASURES DENSITY FUNCTION DESCRIPTIVE STATISTICS DEVELOPED COUNTRIES DEVELOPMENT POLICY DIMENSIONAL POVERTY DISPOSABLE INCOME DISTRIBUTION EFFECT DISTRIBUTION FUNCTION DISTRIBUTION FUNCTIONS ECONOMIC INEQUALITY ECONOMIC PERFORMANCE ECONOMIC POLICY EMPIRICAL ANALYSIS EMPIRICAL APPLICATION EMPIRICAL RESULTS EX-ANTE INEQUALITY EXCHANGE RATES HEADCOUNT POVERTY HIGH COST HOUSEHOLD HEADS HOUSEHOLD INCOME HOUSEHOLD INCOMES HOUSEHOLD NEEDS HOUSEHOLD SIZE HUMAN CAPITAL INCOME INCOME DIFFERENCES INCOME DISTRIBUTION INCOME DISTRIBUTIONS INCOME INCREASE INCOME LEVELS INCOME POVERTY INCOME TRANSFER INCOME-POVERTY INCREASE POVERTY INCREASING FUNCTION INEQUALITY INEQUALITY AVERSION INEQUALITY MEASUREMENT LABOR MARKET MAXIMUM INCOME MEAN INCOME MEAN INCOMES MEASUREMENT OF POVERTY MEASURING INEQUALITY MINIMUM LEVEL POLICY DISCUSSIONS POLICY IMPLICATIONS POLICY RESEARCH POOR POOR COUNTRY POOR INDIVIDUALS POPULATION COMPOSITION POPULATION SHARE POVERTY COMPARISONS POVERTY GAP POVERTY HEADCOUNT POVERTY INCIDENCE POVERTY INDEX POVERTY INDICES POVERTY LEVEL POVERTY LEVELS POVERTY LINE POVERTY LINES POVERTY MEASURE POVERTY MEASUREMENT POVERTY MEASURES POVERTY RANKINGS POVERTY RATE POVERTY RATES POVERTY STATUS POVERTY THRESHOLD PUBLIC ECONOMICS RELATIVE POVERTY SOCIAL POLICY
spellingShingle	ABSOLUTE VALUE AGGREGATE POVERTY AVERAGE INCOME AVERAGE INCOMES CHANGES IN POVERTY CONFLICT CONSUMPTION EXPENDITURES COUNTERFACTUAL CROSS-COUNTRY DIFFERENCES CUMULATIVE DISTRIBUTION DECOMPOSABLE POVERTY DECOMPOSABLE POVERTY MEASURES DENSITY FUNCTION DESCRIPTIVE STATISTICS DEVELOPED COUNTRIES DEVELOPMENT POLICY DIMENSIONAL POVERTY DISPOSABLE INCOME DISTRIBUTION EFFECT DISTRIBUTION FUNCTION DISTRIBUTION FUNCTIONS ECONOMIC INEQUALITY ECONOMIC PERFORMANCE ECONOMIC POLICY EMPIRICAL ANALYSIS EMPIRICAL APPLICATION EMPIRICAL RESULTS EX-ANTE INEQUALITY EXCHANGE RATES HEADCOUNT POVERTY HIGH COST HOUSEHOLD HEADS HOUSEHOLD INCOME HOUSEHOLD INCOMES HOUSEHOLD NEEDS HOUSEHOLD SIZE HUMAN CAPITAL INCOME INCOME DIFFERENCES INCOME DISTRIBUTION INCOME DISTRIBUTIONS INCOME INCREASE INCOME LEVELS INCOME POVERTY INCOME TRANSFER INCOME-POVERTY INCREASE POVERTY INCREASING FUNCTION INEQUALITY INEQUALITY AVERSION INEQUALITY MEASUREMENT LABOR MARKET MAXIMUM INCOME MEAN INCOME MEAN INCOMES MEASUREMENT OF POVERTY MEASURING INEQUALITY MINIMUM LEVEL POLICY DISCUSSIONS POLICY IMPLICATIONS POLICY RESEARCH POOR POOR COUNTRY POOR INDIVIDUALS POPULATION COMPOSITION POPULATION SHARE POVERTY COMPARISONS POVERTY GAP POVERTY HEADCOUNT POVERTY INCIDENCE POVERTY INDEX POVERTY INDICES POVERTY LEVEL POVERTY LEVELS POVERTY LINE POVERTY LINES POVERTY MEASURE POVERTY MEASUREMENT POVERTY MEASURES POVERTY RANKINGS POVERTY RATE POVERTY RATES POVERTY STATUS POVERTY THRESHOLD PUBLIC ECONOMICS RELATIVE POVERTY SOCIAL POLICY Brunori, Paolo Ferreira, Francisco Lugo, Maria Ana Peragine, Vito Opportunity-Sensitive Poverty Measurement
geographic_facet	Africa Eastern Europe European Union
relation	Policy Research Working Paper;No. 6728
description	This paper offers an axiomatic characterization of two classes of poverty measures that are sensitive to inequality of opportunity, one a strict subset of the other. The proposed indices are sensitive not only to income shortfalls from the poverty line, but also to differences in the opportunities faced by people with different predetermined characteristics, such as race or family background. Dominance conditions are established for each class of measures and a sub-family of scalar indices, based on a rank-dependent aggregation of type-specific poverty levels, is also introduced. In empirical analysis using household survey data from eighteen European countries in 2005, substantial differences in country rankings based on standard Foster-Greer-Thorbecke indices and on the new opportunity-sensitive indices are found. Cross-country differences in opportunity-sensitive poverty are decomposed into a level effect, a distribution effect, and a population composition effect.
format	Publications & Research :: Policy Research Working Paper
author	Brunori, Paolo Ferreira, Francisco Lugo, Maria Ana Peragine, Vito
author_facet	Brunori, Paolo Ferreira, Francisco Lugo, Maria Ana Peragine, Vito
author_sort	Brunori, Paolo
title	Opportunity-Sensitive Poverty Measurement
title_short	Opportunity-Sensitive Poverty Measurement
title_full	Opportunity-Sensitive Poverty Measurement
title_fullStr	Opportunity-Sensitive Poverty Measurement
title_full_unstemmed	Opportunity-Sensitive Poverty Measurement
title_sort	opportunity-sensitive poverty measurement
publisher	World Bank, Washington, DC
publishDate	2014
url	http://documents.worldbank.org/curated/en/2013/12/18674559/opportunity-sensitive-poverty-measurement http://hdl.handle.net/10986/16944
_version_	1764435010428862464

Opportunity-Sensitive Poverty Measurement

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