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Citation Information

Type Working Paper - The Centre for the Study of African Economies Working Paper Series
Title Changes in poverty in rural Ethiopia 1989-1995: Measurement, robustness tests and decomposition
Author(s)
Issue 71
Publication (Day/Month/Year) 1998
Page numbers 0-0
URL http://www.bepress.com/cgi/viewcontent.cgi?article=1071&context=csae
Abstract
Assessing changes in poverty levels over time is bedevilled by problems in questionnaire design, the choice of the poverty line, the exact timing of the survey and uncertainty about the appropriate cost-of-living deflators. In this paper, we focus on testing the robustness of measured changes in poverty to these common problems, using household panel data collected in rural Ethiopia in 1989, 1994 and 1995: in particular, we implement a simple graphical technique for assessing the impact of uncertainty in measured inflation rates. We find that poverty declined between 1989 and 1994, but remained virtually unchanged between 1994 and 1995. However, the last result disguises substantial seasonal fluctuations in 1994. We also find that households with substantial human and physical capital, and better access to roads and towns have both lower poverty levels and are more likely to get better o over time. Human capital and access to roads and towns also reduce the fluctuations in poverty across the seasons.

Related studies

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Dercon, Stefan, and Pramila Krishnan. "Changes in poverty in rural Ethiopia 1989-1995: Measurement, robustness tests and decomposition." The Centre for the Study of African Economies Working Paper Series , no. 71 (1998).
Copyright DataFirst, University of Cape Town