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Why is Poverty So High Among Afro-Brazilians? A Decomposition Analysis of the Racial Poverty Gap

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  • Carlos Gradin

Abstract

This study aimed to identify the major factors underlying the discrepancy in poverty levels between whites and blacks in Brazil. An Oaxaca-Blinder-type decomposition was performed in order to quantify the extent to which differences in observed characteristics (characteristics effect) account for this difference. The remaining unexplained part (coefficients effect) provides evidence on how these characteristics are differentially associated with the risk of poverty in each group. Our results show that the characteristics effect explains a large part of the discrepancy in poverty levels: education and labour variables explain one-half of the gap, and geographic and sociodemographic variables another two-fifths.

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  • Carlos Gradin, 2009. "Why is Poverty So High Among Afro-Brazilians? A Decomposition Analysis of the Racial Poverty Gap," Journal of Development Studies, Taylor & Francis Journals, vol. 45(9), pages 1426-1452.
    • Handle: RePEc:taf:jdevst:v:45:y:2009:i:9:p:1426-1452
    DOI: 10.1080/00220380902890235
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    Cited by:

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    4. Esenaliev, Damir & Steiner, Susan, 2014. "Ethnicity and the distribution of welfare: Evidence from southern Kyrgyzstan," Journal of Comparative Economics, Elsevier, vol. 42(4), pages 970-982.
    5. Luis Ayala & Antonio Jurado & Jesús Pérez‐Mayo, 2011. "Income Poverty And Multidimensional Deprivation: Lessons From Cross‐Regional Analysis," Review of Income and Wealth, International Association for Research in Income and Wealth, vol. 57(1), pages 40-60, March.
    6. Carlos Grad󸀍, 2012. "Poverty among minorities in the United States: explaining the racial poverty gap for Blacks and Latinos," Applied Economics, Taylor & Francis Journals, vol. 44(29), pages 3793-3804, October.
    7. Carlos Gradin, 2015. "Poverty and Ethnicity among Black South Africans," The European Journal of Development Research, Palgrave Macmillan;European Association of Development Research and Training Institutes (EADI), vol. 27(5), pages 921-942, December.
    8. Yeutseyeva, Sasha & Deguilhem, Thibaud, 2022. "Race, Gender and Poverty: Evidence from Brazilian Data," MPRA Paper 114411, University Library of Munich, Germany.
    9. Ryan Nehring & Ben McKay, 2013. "Scaling Up Local Development Initiatives: Brazil’s Food Acquisition Programme," Working Papers 106, International Policy Centre for Inclusive Growth.

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    More about this item

    JEL classification:

    • D31 - Microeconomics - - Distribution - - - Personal Income and Wealth Distribution
    • D63 - Microeconomics - - Welfare Economics - - - Equity, Justice, Inequality, and Other Normative Criteria and Measurement
    • J15 - Labor and Demographic Economics - - Demographic Economics - - - Economics of Minorities, Races, Indigenous Peoples, and Immigrants; Non-labor Discrimination
    • J82 - Labor and Demographic Economics - - Labor Standards - - - Labor Force Composition
    • O15 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Economic Development: Human Resources; Human Development; Income Distribution; Migration

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