ECON 112 Lecture Notes - Lecture 11: Subsistence Agriculture, Capability Approach
Document Summary
Given we are measuring poverty with income, we have good measures that, like p2 satisfy desirable properties. If we must have a single indicator, income has advantages (clarity flexibility) Following amartya sen"s capability approach, it is apparent that, in general, poverty needs to be conceptualized - an so measured - in a multidimensional way. Identification of poverty status through a dual cutoff. First, cutoff levels within each dimension (analogous to falling below a poverty line for example . 25 per day for income poverty) Second, cutoff in the number of dimensions in which a person must be deprived (below a line) to be deemed multidimensionally poor. Mpi focuses on deprivations in health, education, and standard of living; and each receives equal (that is one-third of the overall total) weight. Individuals are identified as multidimensionally poor if their family has a weighted sum of 33% or more. Whether any child has died in the family, and.
