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Periodical article Periodical article Leiden University catalogue Leiden University catalogue WorldCat catalogue WorldCat
Title:Poverty and inequality: a micro framework
Authors:Araar, AbdelkrimISNI
Duclos, Jean-YvesISNI
Periodical:Journal of African Economies (ISSN 0963-8024)
Geographic term:Nigeria
economic inequality
income distribution
External link:https://jae.oxfordjournals.org/content/19/3/357.full.pdf
Abstract:The overall aim of this paper is to develop an analytical micro framework with which to probe into some of the complex and context-specific linkages that exist between poverty and inequality. The micro-level data come from the recent and nationally representative National Living Standard Survey (NLSS) of Nigerian households, a survey that was carried out between September 2003 and August 2004 by Nigeria's National Bureau of Statistics. The paper explores the link between poverty and inequality through an analysis of the poverty impact of changes in income-component inequality and in between and within-group inequality. This helps understand various possible linkages between poverty, growth and inequality. It might also help design policies to improve both equity and welfare. Interesting insights emerge from both the analytical and empirical analyses. One such insight is that both the sign and the size of the elasticities can be quite sensitive to the choice of measurement assumptions (such as the choice of inequality and poverty-aversion parameters, and that of the poverty line). The elasticities are also very much distribution-sensitive and dependent on the type of inequality-changing processes taking place. This also suggests that the response of poverty to growth can also be expected to be significantly context-specific. App., bibliogr., notes, ref., sum. [Journal abstract]