Poverty decomposition by regression: An application to Tanzania

We develop a poverty decomposition method that is based on a consumption regression model. Because this method uses an integral of the partial derivatives of a poverty measure with respect to time, the resulting poverty decomposition satisfies time-reversion consistency and sub-period additivity. Un...

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Bibliographic Details
Main Author: FUJII, Tomoki
Format: text
Language:English
Published: Institutional Knowledge at Singapore Management University 2015
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Online Access:https://ink.library.smu.edu.sg/soe_research/2529
https://ink.library.smu.edu.sg/context/soe_research/article/3528/viewcontent/wp2015_102.pdf
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Institution: Singapore Management University
Language: English
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Summary:We develop a poverty decomposition method that is based on a consumption regression model. Because this method uses an integral of the partial derivatives of a poverty measure with respect to time, the resulting poverty decomposition satisfies time-reversion consistency and sub-period additivity. Unlike the existing poverty decomposition methods, it allows us to ascribe the observed change in poverty to various covariates of interest collected at a disaggregate level. This method is applied to two datasets from Tanzania to assess, among others, the short- and long-term impacts of infrastructure and market access on poverty.