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Analytical Tools for Measuring Poverty Dynamics: An Application Using Panel Data in the Philippines

Publication | March 2016
Analytical Tools for Measuring Poverty Dynamics: An Application Using Panel Data in the Philippines

The Philippines has experienced rapid economic growth over the past decade. However, the benefits of economic expansion have not resulted to significant poverty reduction.

This paper aims to measure poverty dynamics and identify the correlates of chronic and transient poverty in the Philippines. Findings suggest that the relative importance of transient poverty increases dramatically as the poverty line decreases or as the poverty measure becomes more sensitive to the welfare of the poorest of the poor.

Contents 

  • Introduction
  • Stylized Facts about Intertemporal Poverty in the Philippines
  • Methodology
  • Data
  • Empirical Results
  • Robustness Check: Switching from 2005 to 2011 Purchasing Power Parity
  • Summary