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Poverty targeting in public programs: A Comparison of Some Nonparametric Tests and their Application to Indian Microfinance

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  • Isha Dewan

Abstract

Many popular social programmes have limited coverage among households at the very bottom of the income and wealth distribution. If a programme reaches the poor, but neglects the destitute, the (pre-programme) income distribution of participants and non-participants will cross. We are interested in the statistical methods that can be used to test for this particular pattern of programme participation. Our numerical simulations of data on household expenditures and membership of micro-credit groups suggests that participation among the poorest households in the study area was lower than that of slightly richer households.

Suggested Citation

  • Isha Dewan, 2008. "Poverty targeting in public programs: A Comparison of Some Nonparametric Tests and their Application to Indian Microfinance," Working Papers id:1516, eSocialSciences.
  • Handle: RePEc:ess:wpaper:id:1516
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    References listed on IDEAS

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    1. Christina Paxson & Norbert R. Schady, 2002. "The Allocation and Impact of Social Funds: Spending on School Infrastructure in Peru," The World Bank Economic Review, World Bank, vol. 16(2), pages 297-319, August.
    2. Chen, Guijing & Chen, Jiahua & Chen, Yuming, 2002. "Statistical inference on comparing two distribution functions with a possible crossing point," Statistics & Probability Letters, Elsevier, vol. 60(3), pages 329-341, December.
    3. repec:pri:rpdevs:morduch_microfinance_poor is not listed on IDEAS
    4. Jonathan Morduch, 1998. "Does Microfinance Really Help the Poor? New Evidence from Flagship Programs in Bangladesh," Working Papers 198, Princeton University, Woodrow Wilson School of Public and International Affairs, Research Program in Development Studies..
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