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Static and Dynamic Disparities between Monetary and Multidimensional Poverty Measurement: Evidence from Vietnam

Measurement of Poverty, Deprivation, and Economic Mobility

ISBN: 978-1-78560-387-7, eISBN: 978-1-78560-386-0

ISSN: 1049-2585

Publication date: 26 August 2015

Abstract

There has been a rapid expansion in the literature on the measurement of multidimensional poverty in recent years. This paper focuses on the longitudinal aspects of multidimensional poverty and its link to dynamic income poverty measurement. Using panel household survey data in Vietnam from 2007, 2008, and 2010, the paper analyses the prevalence and dynamics of both multidimensional and monetary poverty from the same dataset. The results show that the monetary poor (or non-poor) are not always multidimensionally poor (or non-poor) – indeed the overlap between the two measures is much less than 50 percent. Additionally, monetary poverty shows faster progress as well as a higher level of fluctuation than multidimensional poverty. We suggest that rapid economic growth as experienced by Vietnam has had a larger and more immediate impact on monetary than on multidimensional poverty.

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Acknowledgements

Acknowledgments

The authors would like to thank an anonymous referee and the editor of this journal, and participants at workshops in Oxford, Göttingen, Rotterdam, and Ho Chi Minh City for helpful comments on earlier versions of this paper, and Mihika Chatterjee for timely and competent research assistance. Funding from the German Research Foundation (DFG) for supporting the household surveys and from the German Ministry of Economic Cooperation and Development (BMZ) for funding this work in the context of the project on alternative poverty measures is gratefully acknowledged.

Citation

Tran, V.Q., Alkire, S. and Klasen, S. (2015), "Static and Dynamic Disparities between Monetary and Multidimensional Poverty Measurement: Evidence from Vietnam", Measurement of Poverty, Deprivation, and Economic Mobility (Research on Economic Inequality, Vol. 23), Emerald Group Publishing Limited, Bingley, pp. 249-281. https://doi.org/10.1108/S1049-258520150000023008

Publisher

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Emerald Group Publishing Limited

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