Comparison of Alternative Approaches to Estimation of Individual Welfare of Poor Households Cover Image

Porovnanie alternatívnych prístupov k odhadu individuálneho blahobytu omácností ohrozených rizikom chudoby
Comparison of Alternative Approaches to Estimation of Individual Welfare of Poor Households

Author(s): Tomáš Želinský
Subject(s): Economy
Published by: Ekonomický ústav SAV a Prognostický ústav SAV
Keywords: individual welfare measurement; poverty; relative deprivation; social exclusion; Roma community

Summary/Abstract: Choice of a proper approach to individual welfare measurement is an important element of poverty measurement process. The aim of the paper is to develop simple measures of individual welfare. Two alternative approaches to individual welfare estimation by direct method are used. The first approach is based on furnishings of households by goods of long-term consumption. The second approach is based on the structure of households’ expenses. Index of households’ furnishings and index of expenses structure are proposed. Levels of the poorest households’ welfare in Eastern Slovakia (mainly of Roma ethnic origin) are then compared. The sample consists of 170 households from Eastern Slovakia participating in microsavings program of ETP Slovakia. Values of indices are in close relation to equivalent disposable income. The proposed indices may serve as supplementary measures of individual welfare of households

  • Issue Year: 58/2010
  • Issue No: 03
  • Page Range: 251-270
  • Page Count: 20
  • Language: Slovak