Identification of Sources of Variation in Poverty Outcomes

The international community has declared poverty reduction one of the fundamental objectives of development, and therefore a metric for assessing the effectiveness of development interventions. This creates the need for a sound understanding of the...

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Main Author: Essama-Nssah, B.
Format: Policy Research Working Paper
Language:English
Published: 2012
Subjects:
Online Access:http://www-wds.worldbank.org/external/default/main?menuPK=64187510&pagePK=64193027&piPK=64187937&theSitePK=523679&menuPK=64187510&searchMenuPK=64187283&siteName=WDS&entityID=000158349_20120118105412
http://hdl.handle.net/10986/3238
id okr-10986-3238
recordtype oai_dc
spelling okr-10986-32382021-04-23T14:02:08Z Identification of Sources of Variation in Poverty Outcomes Essama-Nssah, B. ACCOUNTING AGRICULTURE BENCHMARK BUDGET CONSTRAINTS CDF COMPETITIVE MARKETS CONCEPTUAL FRAMEWORK CONSUMER CHOICE CONSUMPTION PATTERNS COUNTERFACTUAL DECISION MAKING DEVELOPMENT POLICIES DEVELOPMENT POLICY DISPOSABLE INCOME ECONOMIC ACTIVITY ECONOMIC GROWTH ECONOMIC THEORY ECONOMIC WELFARE ECONOMICS ENVIRONMENTS EXPECTED VALUE EXPECTED VALUES EXPENDITURE FINANCIAL CRISIS FISHING FIXED INPUTS GENERAL EQUILIBRIUM GINI COEFFICIENT GROWTH RATE IMPACT EVALUATION INCOME INCOME EFFECT INCOME EFFECTS INCOME INEQUALITY INEQUALITY MEASURES INTERVENTION LABOR DEMAND LABOR ECONOMICS LABOR FORCE LABOR MARKET LABOR SUPPLY LIVING STANDARDS LORENZ CURVE MARGINAL UTILITY MARGINAL VALUE MARKET WAGE MAXIMUM LIKELIHOOD ESTIMATION NORMAL GOOD OPPORTUNITY COST OPTIMIZATION POLICY INSTRUMENTS POVERTY MEASURES POVERTY OUTCOMES POVERTY REDUCTION PRICE EFFECT PRODUCTIVITY PROGRAMS REGRESSION ANALYSIS RELEVANT MARKETS SAMPLE SIZE SELECTION BIAS SUBSTITUTES SUBSTITUTION SUPPLY CURVE SUPPLY FUNCTION SUPPLY FUNCTIONS TARGETED INTERVENTIONS TAX RATES TECHNOLOGICAL FACTORS TREATMENT EFFECTS UNEMPLOYMENT UTILITY FUNCTION VARIABLE COSTS WAGE DISTRIBUTION WAGE INCOME WAGE RATES WAGES WELFARE FUNCTION The international community has declared poverty reduction one of the fundamental objectives of development, and therefore a metric for assessing the effectiveness of development interventions. This creates the need for a sound understanding of the fundamental factors that account for observed variations in poverty outcomes either over time or across space. Consistent with the view that such an understanding entails deeper micro empirical work on growth and distributional change, this paper reviews existing decomposition methods that can be used to identify sources of variation in poverty. The maintained hypothesis is that the living standard of an individual is a pay-off from her participation in the life of society. In that sense, individual outcomes depend on endowments, behavior and the circumstances that determine the returns to those endowments in any social transaction. To identify the contribution of each of these factors to changes in poverty, the statistical and structural methods reviewed in this paper all rely on the notion of ceteris paribus variation. This entails the comparison of an observed outcome distribution to a counterfactual obtained by changing one factor at a time while holding all the other factors constant. 2012-03-19T17:28:53Z 2012-03-19T17:28:53Z 2012-01-01 http://www-wds.worldbank.org/external/default/main?menuPK=64187510&pagePK=64193027&piPK=64187937&theSitePK=523679&menuPK=64187510&searchMenuPK=64187283&siteName=WDS&entityID=000158349_20120118105412 http://hdl.handle.net/10986/3238 English Policy Research working paper ; no. WPS 5954 CC BY 3.0 IGO http://creativecommons.org/licenses/by/3.0/igo/ World Bank Publications & Research :: Policy Research Working Paper The World Region The World Region
repository_type Digital Repository
institution_category Foreign Institution
institution Digital Repositories
building World Bank Open Knowledge Repository
collection World Bank
language English
topic ACCOUNTING
AGRICULTURE
BENCHMARK
BUDGET CONSTRAINTS
CDF
COMPETITIVE MARKETS
CONCEPTUAL FRAMEWORK
CONSUMER CHOICE
CONSUMPTION PATTERNS
COUNTERFACTUAL
DECISION MAKING
DEVELOPMENT POLICIES
DEVELOPMENT POLICY
DISPOSABLE INCOME
ECONOMIC ACTIVITY
ECONOMIC GROWTH
ECONOMIC THEORY
ECONOMIC WELFARE
ECONOMICS
ENVIRONMENTS
EXPECTED VALUE
EXPECTED VALUES
EXPENDITURE
FINANCIAL CRISIS
FISHING
FIXED INPUTS
GENERAL EQUILIBRIUM
GINI COEFFICIENT
GROWTH RATE
IMPACT EVALUATION
INCOME
INCOME EFFECT
INCOME EFFECTS
INCOME INEQUALITY
INEQUALITY MEASURES
INTERVENTION
LABOR DEMAND
LABOR ECONOMICS
LABOR FORCE
LABOR MARKET
LABOR SUPPLY
LIVING STANDARDS
LORENZ CURVE
MARGINAL UTILITY
MARGINAL VALUE
MARKET WAGE
MAXIMUM LIKELIHOOD ESTIMATION
NORMAL GOOD
OPPORTUNITY COST
OPTIMIZATION
POLICY INSTRUMENTS
POVERTY MEASURES
POVERTY OUTCOMES
POVERTY REDUCTION
PRICE EFFECT
PRODUCTIVITY
PROGRAMS
REGRESSION ANALYSIS
RELEVANT MARKETS
SAMPLE SIZE
SELECTION BIAS
SUBSTITUTES
SUBSTITUTION
SUPPLY CURVE
SUPPLY FUNCTION
SUPPLY FUNCTIONS
TARGETED INTERVENTIONS
TAX RATES
TECHNOLOGICAL FACTORS
TREATMENT EFFECTS
UNEMPLOYMENT
UTILITY FUNCTION
VARIABLE COSTS
WAGE DISTRIBUTION
WAGE INCOME
WAGE RATES
WAGES
WELFARE FUNCTION
spellingShingle ACCOUNTING
AGRICULTURE
BENCHMARK
BUDGET CONSTRAINTS
CDF
COMPETITIVE MARKETS
CONCEPTUAL FRAMEWORK
CONSUMER CHOICE
CONSUMPTION PATTERNS
COUNTERFACTUAL
DECISION MAKING
DEVELOPMENT POLICIES
DEVELOPMENT POLICY
DISPOSABLE INCOME
ECONOMIC ACTIVITY
ECONOMIC GROWTH
ECONOMIC THEORY
ECONOMIC WELFARE
ECONOMICS
ENVIRONMENTS
EXPECTED VALUE
EXPECTED VALUES
EXPENDITURE
FINANCIAL CRISIS
FISHING
FIXED INPUTS
GENERAL EQUILIBRIUM
GINI COEFFICIENT
GROWTH RATE
IMPACT EVALUATION
INCOME
INCOME EFFECT
INCOME EFFECTS
INCOME INEQUALITY
INEQUALITY MEASURES
INTERVENTION
LABOR DEMAND
LABOR ECONOMICS
LABOR FORCE
LABOR MARKET
LABOR SUPPLY
LIVING STANDARDS
LORENZ CURVE
MARGINAL UTILITY
MARGINAL VALUE
MARKET WAGE
MAXIMUM LIKELIHOOD ESTIMATION
NORMAL GOOD
OPPORTUNITY COST
OPTIMIZATION
POLICY INSTRUMENTS
POVERTY MEASURES
POVERTY OUTCOMES
POVERTY REDUCTION
PRICE EFFECT
PRODUCTIVITY
PROGRAMS
REGRESSION ANALYSIS
RELEVANT MARKETS
SAMPLE SIZE
SELECTION BIAS
SUBSTITUTES
SUBSTITUTION
SUPPLY CURVE
SUPPLY FUNCTION
SUPPLY FUNCTIONS
TARGETED INTERVENTIONS
TAX RATES
TECHNOLOGICAL FACTORS
TREATMENT EFFECTS
UNEMPLOYMENT
UTILITY FUNCTION
VARIABLE COSTS
WAGE DISTRIBUTION
WAGE INCOME
WAGE RATES
WAGES
WELFARE FUNCTION
Essama-Nssah, B.
Identification of Sources of Variation in Poverty Outcomes
geographic_facet The World Region
The World Region
relation Policy Research working paper ; no. WPS 5954
description The international community has declared poverty reduction one of the fundamental objectives of development, and therefore a metric for assessing the effectiveness of development interventions. This creates the need for a sound understanding of the fundamental factors that account for observed variations in poverty outcomes either over time or across space. Consistent with the view that such an understanding entails deeper micro empirical work on growth and distributional change, this paper reviews existing decomposition methods that can be used to identify sources of variation in poverty. The maintained hypothesis is that the living standard of an individual is a pay-off from her participation in the life of society. In that sense, individual outcomes depend on endowments, behavior and the circumstances that determine the returns to those endowments in any social transaction. To identify the contribution of each of these factors to changes in poverty, the statistical and structural methods reviewed in this paper all rely on the notion of ceteris paribus variation. This entails the comparison of an observed outcome distribution to a counterfactual obtained by changing one factor at a time while holding all the other factors constant.
format Publications & Research :: Policy Research Working Paper
author Essama-Nssah, B.
author_facet Essama-Nssah, B.
author_sort Essama-Nssah, B.
title Identification of Sources of Variation in Poverty Outcomes
title_short Identification of Sources of Variation in Poverty Outcomes
title_full Identification of Sources of Variation in Poverty Outcomes
title_fullStr Identification of Sources of Variation in Poverty Outcomes
title_full_unstemmed Identification of Sources of Variation in Poverty Outcomes
title_sort identification of sources of variation in poverty outcomes
publishDate 2012
url http://www-wds.worldbank.org/external/default/main?menuPK=64187510&pagePK=64193027&piPK=64187937&theSitePK=523679&menuPK=64187510&searchMenuPK=64187283&siteName=WDS&entityID=000158349_20120118105412
http://hdl.handle.net/10986/3238
_version_ 1764386657526611968