Measuring Poverty in Latin America and the Caribbean : Methodological Considerations When Estimating an Empirical Regional Poverty Line

This paper contributes to the methodological literature on the estimation of poverty lines for country poverty comparisons in Latin America and the Caribbean. The paper exploits a unique, comprehensive data set of 86 up-to-date urban official extre...

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Bibliographic Details
Main Authors:	Castaneda, R. Andres, Gasparini, Leonardo, Garriga, Santiago, Lucchetti, Leonardo R., Valderrama, Daniel
Format:	Working Paper
Language:	English en_US
Published:	World Bank, Washington, DC 2016
Subjects:	REGIONAL POVERTY LINES HOUSEHOLD INCOMES HEADCOUNT RATIO HOUSEHOLD SURVEY CAPITA INCOME POVERTY LINE MEAN VALUE INCOME URBAN POVERTY INDIVIDUAL COUNTRIES POVERTY ESTIMATES POVERTY RATES NATIONAL POVERTY LINE REGIONAL LEVEL FOOD COMPONENTS INTERNATIONAL ORGANIZATIONS COUNTERFACTUAL DATA COLLECTION CONSUMPTION DATA DEVELOPING COUNTRIES HOUSING POLITICAL ECONOMY REGIONAL POVERTY LINE GLOBAL LEVEL RURAL INCOMES NATIONAL POVERTY EXTREME POVERTY LINE CONSUMPTION AGGREGATE INTERNATIONAL POVERTY LINES DEVELOPMENT GOALS CITIES GLOBAL POVERTY MARGINAL EFFECT SOCIAL PROGRAMS INFLATION MEASURES POVERTY MEASURES NATIONAL POVERTY LINES REGION POVERTY REDUCTION REGIONAL POVERTY FOOD BASKET MEASURING POVERTY PER CAPITA INCOME CURRENCY DEVELOPMENT ECONOMICS INTERNATIONAL POVERTY COMPARISONS EXCHANGE RATES NON-LINEAR FUNCTION COST OF LIVING HOUSEHOLD COMPOSITION HOUSEHOLD INCOME POVERTY STATUS DATA ISSUES HOUSEHOLD SURVEYS POVERTY RANKINGS RELATIVE PRICES CHANGES IN POVERTY REGIONAL DISPARITIES FOOD ITEMS WELFARE DISTRIBUTION POVERTY LINES CONSUMPTION POVERTY COMPARISONS CUMULATIVE DISTRIBUTION POVERTY MEASUREMENT DEPENDENT VARIABLE DISTRIBUTION FUNCTION INCOME DISTRIBUTIONS DEVELOPING WORLD DENSITY FUNCTION RURAL POVERTY INCOME DISTRIBUTION URBAN AREAS ABSOLUTE POVERTY RURAL POVERTY LINES RURAL BASIC FOOD BASKET REAL EXCHANGE RATE LOCAL CURRENCY ECONOMICS RURAL REGIONS CUMULATIVE DISTRIBUTION FUNCTION DATA SETS WEIGHT ECONOMIC DEVELOPMENT POVERTY INDICATORS WELFARE MEASURES ECONOMIES OF SCALE REGIONS EXTREME POVERTY ABSOLUTE POVERTY LINE RURAL AREAS POVERTY REGIONAL AVERAGES EXTREME POVERTY LINES HOUSEHOLD CONSUMPTION POPULATION PURCHASING POWER PARITY CONSUMER PRICE INDEX HOUSEHOLD WELFARE POLICY RESEARCH POVERTY RATE POOR WELFARE MEASURE EXCHANGE RATE POVERTY ACROSS COUNTRIES COUNTRY SPECIFIC POVERTY ASSESSMENTS URBAN POPULATION DEVELOPMENT INDICATORS HOUSEHOLD PER CAPITA INCOME DEVELOPMENT POLICY INEQUALITY GROWTH
Online Access:	http://documents.worldbank.org/curated/en/2016/04/26173987/measuring-poverty-latin-america-caribbean-methodological-considerations-estimating-empirical-regional-poverty-line http://hdl.handle.net/10986/24163

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Summary:	This paper contributes to the methodological literature on the estimation of poverty lines for country poverty comparisons in Latin America and the Caribbean. The paper exploits a unique, comprehensive data set of 86 up-to-date urban official extreme and moderate poverty lines across 18 countries in Latin America and the Caribbean, as well as the recent values of the national purchasing power parity conversion factors from the 2011 International Comparison Program and a set of harmonized household surveys that are part of the Socio-Economic Database for Latin America and the Caribbean project. Because of the dispersion of country-specific poverty lines, the paper concludes that the value of a regional poverty line largely depends on the selected aggregation method, which ends up having a direct impact on the estimation of regional extreme and moderate poverty headcounts.

Measuring Poverty in Latin America and the Caribbean : Methodological Considerations When Estimating an Empirical Regional Poverty Line

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