Poverty and permanent income: a methodology for cross-section data

Ramses Hani Abul Naga; Enrico Bolzani

Poverty and permanent income: a methodology for cross-section data

Ramses Hani Abul Naga, Enrico Bolzani

Economics

Research output: Contribution to journal › Article

Abstract

If the set of households which are income poor does not fully overlap with the set of the consumption poor, it could well be that income and consumption expenditure convey different information regarding an unobserved variable on the basis of which families allocate their resources intertemporally. This paper presents a methodology for predicting the unobserved permanent incomes of households using
multiple welfare indicators typically available in cross-section data.

Original language	English
Pages (from-to)	195-223
Number of pages	29
Journal	Annales d'Economie et Statistique
Volume	81
Publication status	Published - Jan 2006

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Abul Naga, R. H., & Bolzani, E. (2006). Poverty and permanent income: a methodology for cross-section data. Annales d'Economie et Statistique, 81, 195-223. http://annales.ensae.fr/

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AB - If the set of households which are income poor does not fully overlap with the set of the consumption poor, it could well be that income and consumption expenditure convey different information regarding an unobserved variable on the basis of which families allocate their resources intertemporally. This paper presents a methodology for predicting the unobserved permanent incomes of households using multiple welfare indicators typically available in cross-section data.

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JO - Annales d'Economie et Statistique

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