No Condition is Permanent : Middle Class in Nigeria in the Last Decade

The economic debate on existence and definition of the middle class has become particularly lively in many developing countries. Despite this growing interest, the identification of the middle class group in these countries remains quite challenging. Building on a recently developed framework to def...

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Main Authors: Corral, Paul, Molini, Vasco, Oseni, Gbemisola
Format: Working Paper
Language:en_US
Published: World Bank Group, Washington, DC 2015
Subjects:
Online Access:http://hdl.handle.net/10986/21653
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recordtype oai_dc
spelling okr-10986-216532021-04-23T14:04:03Z No Condition is Permanent : Middle Class in Nigeria in the Last Decade Corral, Paul Molini, Vasco Oseni, Gbemisola middle class vulnerability generalized maximum entropy regression analysis relative poverty The economic debate on existence and definition of the middle class has become particularly lively in many developing countries. Despite this growing interest, the identification of the middle class group in these countries remains quite challenging. Building on a recently developed framework to define the middle class, this paper tries to estimate the Nigerian middle class size in a rigorous quantitative manner. By exploiting publicly available panel data, the expenditure associated to a 10 percent probability of falling into poverty is estimated, and this is used as the middle class threshold for Nigeria. The threshold expenditure for the middle class in Nigeria is found to be 378.39 Naira per capita per day (2010 PPP). Relying on this threshold and through survey-to-survey imputation the size of Nigeria's middle class in 2003 is also estimated. The results show that there has been considerable improvement on the size of the middle class and poverty reduction between 2003 and 2013. Poverty decreased between 2003 and 2013 from 45 to 33 percent, while the middle class increased from 13 percent to 19 percent. Nevertheless the results still paint a heterogeneous picture of poverty and the middle class in Nigeria, where the largest portion of the population, although above the poverty threshold, continues to live with average or high vulnerability to poverty. 2015-03-31T15:13:29Z 2015-03-31T15:13:29Z 2015-03 Working Paper http://hdl.handle.net/10986/21653 en_US Policy Research Working Paper;No. 7214 CC BY 3.0 IGO http://creativecommons.org/licenses/by/3.0/igo World Bank World Bank Group, Washington, DC Publications & Research Publications & Research :: Policy Research Working Paper Africa Nigeria
repository_type Digital Repository
institution_category Foreign Institution
institution Digital Repositories
building World Bank Open Knowledge Repository
collection World Bank
language en_US
topic middle class
vulnerability
generalized maximum entropy
regression analysis
relative poverty
spellingShingle middle class
vulnerability
generalized maximum entropy
regression analysis
relative poverty
Corral, Paul
Molini, Vasco
Oseni, Gbemisola
No Condition is Permanent : Middle Class in Nigeria in the Last Decade
geographic_facet Africa
Nigeria
relation Policy Research Working Paper;No. 7214
description The economic debate on existence and definition of the middle class has become particularly lively in many developing countries. Despite this growing interest, the identification of the middle class group in these countries remains quite challenging. Building on a recently developed framework to define the middle class, this paper tries to estimate the Nigerian middle class size in a rigorous quantitative manner. By exploiting publicly available panel data, the expenditure associated to a 10 percent probability of falling into poverty is estimated, and this is used as the middle class threshold for Nigeria. The threshold expenditure for the middle class in Nigeria is found to be 378.39 Naira per capita per day (2010 PPP). Relying on this threshold and through survey-to-survey imputation the size of Nigeria's middle class in 2003 is also estimated. The results show that there has been considerable improvement on the size of the middle class and poverty reduction between 2003 and 2013. Poverty decreased between 2003 and 2013 from 45 to 33 percent, while the middle class increased from 13 percent to 19 percent. Nevertheless the results still paint a heterogeneous picture of poverty and the middle class in Nigeria, where the largest portion of the population, although above the poverty threshold, continues to live with average or high vulnerability to poverty.
format Working Paper
author Corral, Paul
Molini, Vasco
Oseni, Gbemisola
author_facet Corral, Paul
Molini, Vasco
Oseni, Gbemisola
author_sort Corral, Paul
title No Condition is Permanent : Middle Class in Nigeria in the Last Decade
title_short No Condition is Permanent : Middle Class in Nigeria in the Last Decade
title_full No Condition is Permanent : Middle Class in Nigeria in the Last Decade
title_fullStr No Condition is Permanent : Middle Class in Nigeria in the Last Decade
title_full_unstemmed No Condition is Permanent : Middle Class in Nigeria in the Last Decade
title_sort no condition is permanent : middle class in nigeria in the last decade
publisher World Bank Group, Washington, DC
publishDate 2015
url http://hdl.handle.net/10986/21653
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