Search results

1 – 10 of over 2000
Open Access
Article
Publication date: 1 August 2023

Lam Do and Thai-Ha Le

This research investigates how subsidy programs in Vietnam's residential electricity market affect consumers' well-being.

Abstract

Purpose

This research investigates how subsidy programs in Vietnam's residential electricity market affect consumers' well-being.

Design/methodology/approach

Two perspectives are employed: cash transfer and quantity-based subsidy. The effectiveness of cash transfer is measured in three ways: benefit incidence, beneficiary incidence and materiality. The quantity-based subsidy is established under the increasing block rate pricing, with the first two block rates being lower than the marginal cost. To improve the quantity-based subsidy, the research examines the consumer surplus under four proposals.

Findings

The results show that both types of subsidies are ineffective in supporting the poor.

Research limitations/implications

In order to achieve a more equal distribution among households, the subsidy program should remove all subsidized blocks and reflect the full marginal cost. Changes should be made to the price structure regarding both marginal price and intervals.

Practical implications

To mitigate the impact of the quantity-based subsidy, the government should improve the cash transfer by reducing extortion and improving targeting efficiency, especially for poor households living in rented houses.

Originality/value

This paper is the first to discuss the welfare effect of the electricity subsidy in Vietnam. First, it comprehensively evaluates the cash transfer subsidy in Vietnam. Second, it suggests a modification in the residential electricity tariff.

Details

Journal of Economics and Development, vol. 25 no. 4
Type: Research Article
ISSN: 1859-0020

Keywords

Article
Publication date: 22 September 2023

Noha Omar and Heba Farida El-Laithy

This paper aims to examine the mismatch between multidimensional deprivation and monetary poverty in identifying the poor in Egypt and investigates their determinants empirically.

Abstract

Purpose

This paper aims to examine the mismatch between multidimensional deprivation and monetary poverty in identifying the poor in Egypt and investigates their determinants empirically.

Design/methodology/approach

The paper uses the Alkire-Foster multidimensional poverty measurement method using data from Egypt’s 2017/2018 Household Income, Expenditure and Consumption Survey (HIECS 2017/2018). Using a logistic regression model, the paper assesses the empirical relationship between multidimensional and monetary poverty and their determinants at the aggregate level and by dimension.

Findings

The paper demonstrates a significant mismatch between multidimensional and monetary poverty measures, underscoring their complementary nature. Statistics indicate that both measures overlap in classifying 35.81% of Egyptians, whereas monetary poverty ignores 63.12% of multidimensionally poor in at least one dimension. Regression estimates show a significant moderate negative association between expenditure per capita and multidimensional poverty and its dimensions. Moreover, they show that household head’s gender, age, education attainment, marital status, job proficiency, household size and location affect poverty mismatch and match in Egypt.

Practical implications

This paper offers Egyptian policymakers the multidimensional poverty index that enables more efficient designing and targeting of poverty alleviation programs and assessing current poverty alleviation programs to modify them if needed.

Originality/value

To the best of the authors’ knowledge, this study is the first to examine the mismatch between both poverty measures in Egypt, using the recent full data set of HIECS 2017/2018. This paper confirms that depending only on monetary measures can send inaccurate insights for crafting effective social policies. Also, it offers policymakers a comprehensive insight into the country’s poverty landscape, which enable more efficient design, targeting of poverty alleviation programs and monitoring their effectiveness.

Details

International Journal of Development Issues, vol. 23 no. 1
Type: Research Article
ISSN: 1446-8956

Keywords

Article
Publication date: 8 December 2023

Shreya Lahiri and Shreya Biswas

The study analyzes the relationship between homeownership and financial investment of households in the context of emerging markets like India. It also examines how homeownership…

Abstract

Purpose

The study analyzes the relationship between homeownership and financial investment of households in the context of emerging markets like India. It also examines how homeownership affects the portfolio decisions of Indian households.

Design/methodology/approach

Using the nationally representative All-India Debt and Investment Survey of 2019 and employing an instrumental variable approach, the authors analyze the relationship between homeownership and the share of financial assets held by Indian households. The study also employs several sensitivity checks, including alternate estimation techniques and alternative definitions of the housing variables, and accounts for additional factors to ensure that the authors are able to capture the effect of homeownership on the outcome variable.

Findings

The analysis suggests homeownership crowds out financial investment in India due to high repair and maintenance costs. The negative effect is mainly observed in urban households. Further, the findings imply that homeownership leads households to reallocate their asset portfolio. Homeowners have a lower share in liquid short term deposits, indicating the high liquidity risk of their portfolios. On the other hand, homeownership increases the share of long term retirement funds along with no effect on risky asset share. The authors observe that the crowding out effect is more striking for younger households and poorer households with low income, and the effect is lower for indebted households.

Practical implications

The findings underscore the need for financial awareness programs so that housing does not crowd out liquid investments of households. Additionally, the results highlight that policies should first focus on young and poor households as the negative effect is more prominent for these groups. Finally, there is scope for policies to support repair and maintenance costs incurred by vulnerable households to reduce the negative effect of housing on liquid financial investments.

Originality/value

This paper is among the few studies that provide insights into how homeownership relates to financial investment and portfolio decisions in the context of an emerging economy. Furthermore, the heterogeneous effects based on poor economic status and age underscore the need for complementary policies.

Details

Journal of Economic Studies, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 0144-3585

Keywords

Book part
Publication date: 20 July 2023

Norhaslinda Jamaiudin

Children in Malaysia, just as children in many other countries, are vulnerable to poverty. They are exposed to different forms of deprivation and the COVID-19 pandemic exacerbated…

Abstract

Children in Malaysia, just as children in many other countries, are vulnerable to poverty. They are exposed to different forms of deprivation and the COVID-19 pandemic exacerbated their predicament. Concerns have been raised about the impact of the pandemic on children’s well-being, as this health crisis had intensified the educational and economic disparities among children in Malaysia, and for some children the impact will be lifelong. It is important to recognise the multidimensionality of poverty in regard to deprivation among poor children; however, such concerns are less pronounced in public policy discussions. Demands for greater policy attention intensified following the increasing number of unemployed parents and bereaved children who lost their parents due to the pandemic. The scope of poverty alleviation policies failed to consider the varying poverty gaps between recipients and the various forms of deprivation experienced by children in poor and larger sized households. As a result, the allocation of funds for the improvement of children’s well-being has been insignificant. The aim of this chapter is to provide a thorough overview of child poverty in developed and developing countries and how child poverty has changed in Malaysia. The analysis in this chapter seeks to provide deep insights on the development of policies that address poverty among children in Malaysia. An analysis on budget appropriations reveals that efforts to address other dimensions of child development were steadily improved, but policy commitments for such purposes need to be intensified in the post-pandemic era when hundreds of thousands of families and children have been plunged into poverty. It is timely for policymakers to acknowledge the need for separate policy considerations for children since they experience poverty differently from adults. The fulfilment of their needs should be prioritised, and the recognition of this fact would produce desirable plans of action for children living in poverty.

Details

Pandemic, Politics, and a Fairer Society in Southeast Asia: A Malaysian Perspective
Type: Book
ISBN: 978-1-80455-589-7

Keywords

Open Access
Article
Publication date: 22 April 2024

Benjian Wu, Linyi Niu, Ruiqi Tan and Haibo Zhu

This study explores whether targeted microcredit can effectively alleviate households’ multidimensional relative poverty (MdRP) in rural China in the new era following the poverty…

Abstract

Purpose

This study explores whether targeted microcredit can effectively alleviate households’ multidimensional relative poverty (MdRP) in rural China in the new era following the poverty elimination campaign and discusses it from a gendered perspective.

Design/methodology/approach

This study applies a fixed-effects model, propensity score matching (PSM) and two-stage instrumental variable method to two-period panel data collected from 611 households in rural western China in 2018 and 2021 to explore the effects, mechanisms and heterogenous performance of targeted microcredit on households’ MdRP in the new era.

Findings

(i) Targeted microcredit can alleviate MdRP among rural households in the new era, mainly by reducing income and opportunity inequality. (ii) Targeted microcredit can promote women’s empowerment, mainly by enhancing their social participation, thereby helping alleviate households’ MdRP. The effect of the targeted microcredit on MdRP is more significant in medium-educated women households and non-left-behind women households. (iii) The MdRP alleviation effect is stronger in villages with a high degree of digitalization.

Research limitations/implications

Learn from the experience of targeted microcredit. Accurately identify poor groups and integrate loan design into financial health and women empowerment. Particularly, pay attention to less-educated and left-behind women households and strengthen coordination between targeted microcredit and digital village strategies.

Originality/value

This study clarifies the effect of targeted microcredit on women’s empowerment and households’ MdRP alleviation in the new era. It also explores its various effects on households with different female characteristics and regional digitalization levels, providing ideas for optimizing microcredit.

Details

China Agricultural Economic Review, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 1756-137X

Keywords

Open Access
Article
Publication date: 27 March 2023

Naod Mekonnen Anega and Bamlaku Alemu

This study empirically examines the impact of rural roads on consumption of households in Ethiopia.

1273

Abstract

Purpose

This study empirically examines the impact of rural roads on consumption of households in Ethiopia.

Design/methodology/approach

Both descriptive statistics and econometric techniques are used to address the aforementioned objective. Specifically, quantile regression, fixed- and random-effect models are used to understand the impact of rural road quality on welfare.

Findings

The econometric analysis revealed that improving the quality of rural roads and/or creating access to all-weather roads raises households' average real consumption per capita by as much as 10%. The other transport indicator – mode of transport – also has a positive effect on real consumption per capita. The result indicated that real consumption per capita for households using the traditional mode of transport would increase by as much as 7% compared to those using foot as a major mode of transport. However, the fixed quantile estimation result revealed that rural road access has a positive and significant effect on consumption per capita only for the 0.8th and 0.9th percentiles, indicating that the access to roads is not pro-poor.

Research limitations/implications

Improving rural roads to a level of all-weather road standards and provision of agricultural transport facilities should be strategic priorities.

Originality/value

This study provides empirical evidence pertinent to the effect rural mobility has on the consumption of households as well as the pro-poorness of such investments in rural settings.

Article
Publication date: 12 March 2024

Abigail Adeyonu, Dare Akerele, Mojisola Olanike Kehinde, Olugbenga Adesoji Christopher Ologbon, Oluwaremilekun Akintayo and Roseline Kolawole

Despite a reduction in poverty the global population in 2015, the incidence of poverty remains very high in Sub-Saharan African countries. Most of the countries in the region are…

Abstract

Purpose

Despite a reduction in poverty the global population in 2015, the incidence of poverty remains very high in Sub-Saharan African countries. Most of the countries in the region are agrarian, with most of their population residing in rural areas, and a majority of the poor in the region are found in Nigeria. This study examined the nexus between participation in nonfarm enterprises (NFEs) and poverty among rural farm households in Nigeria and across the six geopolitical zones.

Design/methodology/approach

The Nigerian Living Standard Survey (NLSS) conducted in 2018–2019 by the National Bureau of Statistics was used. We made use of 13,440 farm households with useful information for the purpose of this study. The sample comprises 6,885 households that participated in NFEs and 6,555 nonparticipating households. The data were analyzed with Foster, Greer, and Thorbecke (FGT) (1984) metrics, probit, and fractional probit models at p = 0.05.

Findings

The incidence of poverty was lower among the participating households than in the nonparticipating households. Participation in NFEs had a mitigating effect on poverty. We also established that zonal differentials in poverty rates exist among households in all the analyses. Participation in NFEs was influenced by individual, household, and institutional factors and was also able to explain the depth of poverty among the respondents.

Practical implications

It is suggested that poverty alleviation policies should be targeted at improving access to nonfarm economic activities by rural farm households residing in vulnerable geopolitical zones.

Originality/value

This study is the first attempt to profile household poverty based on the type of NFEs they are involved in. The study also provides an insight into the effect of the state of residence on zonal poverty models, which is expedient if the country must achieve Sustainable Development Goal 1 on the eradication of poverty everywhere.

Peer review

The peer review history for this article is available at: https://publons.com/publon/10.1108/IJSE-06-2023-0493

Details

International Journal of Social Economics, vol. ahead-of-print no. ahead-of-print
Type: Research Article
ISSN: 0306-8293

Keywords

Article
Publication date: 13 June 2023

Hongyun Han and Fan Si

This article aims to examine the role of capital assets in rural household poverty transitions of poverty escape and poverty descent over periods of 2014–2016 and 2016–2018.

Abstract

Purpose

This article aims to examine the role of capital assets in rural household poverty transitions of poverty escape and poverty descent over periods of 2014–2016 and 2016–2018.

Design/methodology/approach

Based on the sustainable livelihood approach, this paper uses binary logit model to explore the influence of multidimensional capital assets on poverty transitions and use instrumental variable estimation to solve the endogeneity between total net asset and poverty transitions.

Findings

Capital assets have significant impacts on household poverty transitions. The role of capital assets in households' poverty escape and poverty descent are not symmetrical. The authors verify that rural households with rich total net asset are more likely to escape poverty and less likely to descend into poverty by using instrumental variable estimation. The authors verify that there is a mediation effect that total net asset can help households' escaping poverty and prevent them from falling into poverty through promoting rural households to engage in business activities.

Originality/value

This paper is the first to explore how capital assets affect poverty transitions in rural China based on the sustainable livelihood approach. The findings of this research can provide valuable policy implications for the pursuit of common prosperity in China and references for other developing countries.

Details

China Agricultural Economic Review, vol. 15 no. 3
Type: Research Article
ISSN: 1756-137X

Keywords

Abstract

Details

A New Left Economics: An Economy with a Social Conscience
Type: Book
ISBN: 978-1-80455-402-9

Article
Publication date: 12 July 2023

Eka Rastiyanto Amrullah, Hiromi Tokuda, Aris Rusyiana and Akira Ishida

The COVID-19 pandemic has significantly affected access to adequate and nutritious food, resulting in hunger, malnutrition and increased food insecurity. The purpose of this study…

Abstract

Purpose

The COVID-19 pandemic has significantly affected access to adequate and nutritious food, resulting in hunger, malnutrition and increased food insecurity. The purpose of this study was to identify the households in Indonesia that were most likely to experience the pandemic's effects.

Design/methodology/approach

Using raw data from nationwide Indonesian household socioeconomic and expenditure surveys (SUSENAS 2020 and SUSENAS 2021), food insecurity was measured using the Food Insecurity Experience Scale (FIES). A multinomial logistic regression model was used to analyze the data.

Findings

The prevalence of mild, moderate and severe food insecurity increased from 20.61% to 21.67% and from 1.28% to 1.37%, respectively, between 2020 (the initial stage of the COVID-19 pandemic) and 2021 (the period during which the infection rapidly spread nationwide). The estimation results of the multinomial logistic regression analysis indicated that urban households, which may have had more difficulties with income generation and access to food due to behavioral constraints, were more likely to be affected by the pandemic. Additionally, economically vulnerable poor households, households with low levels of education or unemployed heads were more likely to be affected by the pandemic.

Originality/value

To the best of the authors knowledge, this is the first study to access the impact of economic downturn and social restrictions due to the COVID-19 pandemic on household food insecurity in Indonesia, using the nationwide household survey data.

Details

International Journal of Social Economics, vol. 50 no. 12
Type: Research Article
ISSN: 0306-8293

Keywords

1 – 10 of over 2000