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Measuring poverty taking into account individual preferences: an application using Ecuadorian data

Cabrera Cevallos, Carlos
(2019)

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Details

Supervisors
Maniquet, François
Faculty
Faculté des sciences économiques, sociales, politiques et de communication
Degree label
Master [120] en sciences économiques, orientation générale
Abstract
enThis paper estimates absolute monetary poverty in Ecuador applying the methodology developed by Dimri and Maniquet. Under this approach, an agent qualifies as poor if and only if she prefers the poverty line bundle to her current consumption bundle. Using the 2013-2014 round of the Ecuadorian Living Standard Measurement Survey, we nd that not taking preferences into account leads to underestimating with some extent the share of Young Rural and Old Rural groups.