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Mixed dominance: a new criterion for poverty analysis

Author

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  • Stephen Howes

Abstract

The second-order stochastic dominance criterion for inequality analysis introduced by Atkinson (1970) covers nearly all well-known inequality indices. The same cannot be said, in respect of poverty indices, for the second-order stochastic dominance criterion for poverty analysis introduced by Atkinson (1987). Indeed, two of the best known poverty indices, the head count ratio and the Sen indix are excluded by it. This paper introduces a more general 'mixed' dominance criterion which provides a more comprehensive coverage of poverty indice. By establishing the relationship between welfare and poverty functions, it also generalizes the proofs given by Atkinson (1987) to include non-separable as well as separable functions.

Suggested Citation

  • Stephen Howes, 1993. "Mixed dominance: a new criterion for poverty analysis," STICERD - Distributional Analysis Research Programme Papers 03, Suntory and Toyota International Centres for Economics and Related Disciplines, LSE.
    • Handle: RePEc:cep:stidar:03
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    Cited by:

    1. Gaël Giraud & Cécile RENOUARD & Rakesh GUPTA N. R. & Thomas ROCA, 2017. "Relational Capability Index 2.0," Working Paper aaa92c4c-2ea2-4cb1-abbf-b, Agence française de développement.
    2. Ravallion, Martin, 1994. "Measuring Social Welfare with and without Poverty Lines," American Economic Review, American Economic Association, vol. 84(2), pages 359-364, May.
    3. Sheldon Danziger & Markus J ntti, 1999. "Income Poverty in Advanced Countries," LIS Working papers 193, LIS Cross-National Data Center in Luxembourg.

    More about this item

    Keywords

    Poverty; stochastic dominance;

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