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Pro‐Poorness Orderings

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  • Satya R. Chakravarty
  • Nachiketa Chattopadhyay
  • Conchita D’Ambrosio

Abstract

An indicator of pro‐poorness of a growth profile associated with a distribution of income is a measure of the extent to which growth is biased towards the poor. This paper proposes a general approach to pro‐poorness, called the progressive sequential averaging principle (PSA), relaxing the requirement of rank preservation due to growth. An endogenous benchmark for evaluating the growth of poor comes out naturally from this principle. A dominance relation on the basis of the above approach for a class of growth profiles is introduced through a simple device, called the PSA curve and its properties are examined in relation to the standard dominances in terms of the generalized Lorenz curve and the inverse generalized Lorenz curve. The paper concludes with an application to evaluate growth profiles experienced by the United States between 2001–07 and 2007–13.

Suggested Citation

  • Satya R. Chakravarty & Nachiketa Chattopadhyay & Conchita D’Ambrosio, 2019. "Pro‐Poorness Orderings," Review of Income and Wealth, International Association for Research in Income and Wealth, vol. 65(4), pages 785-803, December.
    • Handle: RePEc:bla:revinw:v:65:y:2019:i:4:p:785-803
    DOI: 10.1111/roiw.12381
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    References listed on IDEAS

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    Cited by:

    1. John Ogwang & Dennis Obote & Ursula Abwot, 2021. "A Technical Note on New Applications of Lorenz Curves in Business Based on Pareto Principles," International Journal of Applied Economics, Finance and Accounting, Online Academic Press, vol. 9(2), pages 76-81.

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