Who Escaped Poverty and Who Was Left Behind? : A Non-Parametric Approach to Explore Welfare Dynamics Using Cross-Sections

This paper proposes a non-parametric adaptation of a recently developed parametric technique to produce point estimates of intra-generational economic mobility in the absence of panel data sets that follow individuals over time. The method predicts...

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Main Author: Lucchetti, Leonardo
Format: Working Paper
Language:English
en_US
Published: World Bank, Washington, DC 2017
Subjects:
Online Access:http://documents.worldbank.org/curated/en/608131508157256196/Who-escaped-poverty-and-who-was-left-behind-a-non-parametric-approach-to-explore-welfare-dynamics-using-cross-sections
http://hdl.handle.net/10986/28555
id okr-10986-28555
recordtype oai_dc
spelling okr-10986-285552021-06-14T10:11:24Z Who Escaped Poverty and Who Was Left Behind? : A Non-Parametric Approach to Explore Welfare Dynamics Using Cross-Sections Lucchetti, Leonardo POVERTY WELFARE DYNAMICS POVERTY TRANSITIONS SYNTHETIC PANEL This paper proposes a non-parametric adaptation of a recently developed parametric technique to produce point estimates of intra-generational economic mobility in the absence of panel data sets that follow individuals over time. The method predicts past individual income or consumption using time-invariant observable characteristics, which allows the estimation of mobility into and out of poverty, as well as household-level income or consumption growth, from cross-sectional data. The paper validates this method by sampling repeated cross-sections out of actual panel data sets from three countries in the Latin America region and comparing the technique with mobility from panels. Overall, the method performs well in the three settings; with few exceptions, all estimates fall within the 95 percent confidence intervals of the panel mobility. The quality of the estimates does not depend in general on the sophistication level of the underlying welfare model's specifications. The results are encouraging even for those specifications that include few time-invariant variables as regressors. 2017-10-20T21:41:09Z 2017-10-20T21:41:09Z 2017-10 Working Paper http://documents.worldbank.org/curated/en/608131508157256196/Who-escaped-poverty-and-who-was-left-behind-a-non-parametric-approach-to-explore-welfare-dynamics-using-cross-sections http://hdl.handle.net/10986/28555 English en_US Policy Research Working Paper;No. 8220 CC BY 3.0 IGO http://creativecommons.org/licenses/by/3.0/igo World Bank World Bank, Washington, DC Publications & Research Publications & Research :: Policy Research Working Paper Latin America & Caribbean
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 POVERTY
WELFARE DYNAMICS
POVERTY TRANSITIONS
SYNTHETIC PANEL
spellingShingle POVERTY
WELFARE DYNAMICS
POVERTY TRANSITIONS
SYNTHETIC PANEL
Lucchetti, Leonardo
Who Escaped Poverty and Who Was Left Behind? : A Non-Parametric Approach to Explore Welfare Dynamics Using Cross-Sections
geographic_facet Latin America & Caribbean
relation Policy Research Working Paper;No. 8220
description This paper proposes a non-parametric adaptation of a recently developed parametric technique to produce point estimates of intra-generational economic mobility in the absence of panel data sets that follow individuals over time. The method predicts past individual income or consumption using time-invariant observable characteristics, which allows the estimation of mobility into and out of poverty, as well as household-level income or consumption growth, from cross-sectional data. The paper validates this method by sampling repeated cross-sections out of actual panel data sets from three countries in the Latin America region and comparing the technique with mobility from panels. Overall, the method performs well in the three settings; with few exceptions, all estimates fall within the 95 percent confidence intervals of the panel mobility. The quality of the estimates does not depend in general on the sophistication level of the underlying welfare model's specifications. The results are encouraging even for those specifications that include few time-invariant variables as regressors.
format Working Paper
author Lucchetti, Leonardo
author_facet Lucchetti, Leonardo
author_sort Lucchetti, Leonardo
title Who Escaped Poverty and Who Was Left Behind? : A Non-Parametric Approach to Explore Welfare Dynamics Using Cross-Sections
title_short Who Escaped Poverty and Who Was Left Behind? : A Non-Parametric Approach to Explore Welfare Dynamics Using Cross-Sections
title_full Who Escaped Poverty and Who Was Left Behind? : A Non-Parametric Approach to Explore Welfare Dynamics Using Cross-Sections
title_fullStr Who Escaped Poverty and Who Was Left Behind? : A Non-Parametric Approach to Explore Welfare Dynamics Using Cross-Sections
title_full_unstemmed Who Escaped Poverty and Who Was Left Behind? : A Non-Parametric Approach to Explore Welfare Dynamics Using Cross-Sections
title_sort who escaped poverty and who was left behind? : a non-parametric approach to explore welfare dynamics using cross-sections
publisher World Bank, Washington, DC
publishDate 2017
url http://documents.worldbank.org/curated/en/608131508157256196/Who-escaped-poverty-and-who-was-left-behind-a-non-parametric-approach-to-explore-welfare-dynamics-using-cross-sections
http://hdl.handle.net/10986/28555
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