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Decomposing Vulnerability to Poverty

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  • Martina Celidoni

Abstract

type="main"> This paper applies the decomposition of the Foster–Greer–Thorbecke poverty index to the measurement of individual vulnerability to poverty. I highlight that poverty risk can be expressed as a function of expected incidence, expected intensity, and expected variability below the poverty line, three essential aspects for improving the design of appropriate risk-management policies. An empirical illustration is provided using the British Household Panel Survey and the Italian Survey on Household Income and Wealth.

Suggested Citation

  • Martina Celidoni, 2015. "Decomposing Vulnerability to Poverty," Review of Income and Wealth, International Association for Research in Income and Wealth, vol. 61(1), pages 59-74, March.
    • Handle: RePEc:bla:revinw:v:61:y:2015:i:1:p:59-74
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    File URL: http://hdl.handle.net/10.1111/roiw.12074
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    Cited by:

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    2. Prieto Suarez, Joaquin, 2023. "Degrees of vulnerability to poverty: a low-income dynamics approach for Chile," LSE Research Online Documents on Economics 121993, London School of Economics and Political Science, LSE Library.
    3. Seyoung Chae & Almas Heshmati, 2024. "The effects of lifetime work experience on incidence and severity of elderly poverty in Korea," Journal of Social and Economic Development, Springer;Institute for Social and Economic Change, vol. 26(2), pages 521-554, August.
    4. repec:ehl:lserod:121085 is not listed on IDEAS
    5. G. C. Lim & Sarantis Tsiaplias, 2019. "Household income requirements and financial conditions," Empirical Economics, Springer, vol. 57(5), pages 1705-1730, November.
    6. Joaquín Prieto, 2024. "Degrees of vulnerability to poverty: A low-income dynamics approach for Chile," Working Papers 666, ECINEQ, Society for the Study of Economic Inequality.
    7. Ira N. Gang & Kseniia Gatskova & John Landon-Lane & Myeong-Su Yun, 2018. "Vulnerability to Poverty: Tajikistan During and After the Global Financial Crisis," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 138(3), pages 925-951, August.
    8. Chae, Seyoung & Heshmati, Almas, 2017. "The Effects of Lifetime Work Experience on Incidence and Severity of Elderly Poverty in Korea," IZA Discussion Papers 10909, Institute of Labor Economics (IZA).
    9. Van Hoyweghen, Kaat & Van Den Broek, Goedele & Maertens, Miet, 2018. "Understanding the importance of wage employment for rural development: Evidence from Senegal," Working Papers 272323, Katholieke Universiteit Leuven, Centre for Agricultural and Food Economics.
    10. Luca Zanin, 2016. "On Italian Households’ Economic Inadequacy Using Quali-Quantitative Measures," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 128(1), pages 59-88, August.
    11. Nicholas Ngepah & Tsholofelo Makgalemele & Charles Shaaba Saba, 2023. "The relationship between education and vulnerability to poverty in South Africa," Economic Change and Restructuring, Springer, vol. 56(1), pages 633-656, February.
    12. Cristina Bernini & Silvia Emili & Maria Rosaria Ferrante, 2023. "Poverty‐happiness nexus: Does the use of regional poverty lines matter?," Papers in Regional Science, Wiley Blackwell, vol. 102(2), pages 253-272, April.
    13. Mauricio Gallardo, 2018. "Identifying Vulnerability To Poverty: A Critical Survey," Journal of Economic Surveys, Wiley Blackwell, vol. 32(4), pages 1074-1105, September.
    14. Mousumi Das, 2021. "Vulnerability to Food Insecurity: A Decomposition Exercise for Rural India using the Expected Utility Approach," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 156(1), pages 167-199, July.
    15. Giuseppe Pignataro & Michele Costa, 2023. "The Foster-Greer-Thorbecke index and the inequality factors: an analysis through the Gini index decomposition," The Journal of Economic Inequality, Springer;Society for the Study of Economic Inequality, vol. 21(2), pages 483-497, June.

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