Applying the Consensual Method of Estimating Poverty in a Low Income African Setting.

Shailen Nandy,Marco Pomati

doi:10.1007/s11205-014-0819-z

Shailen Nandy, Marco Pomati

Open Access

https://doi.org/10.1007/s11205-014-0819-z

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Abstract

We present the first study of multidimensional poverty in Benin using the consensual or socially perceived necessities approach. There is a remarkable level consensus about what constitutes the necessities of life and an adequate standard of living. Following Townsend’s concept of relative deprivation, we show how social consensus provides the basis for a reliable and valid index of multiple deprivation, which can be used to reflect multidimensional poverty. We discuss the issue of adaptive preferences, which has previously been used to criticise the consensual approach, and provide evidence to contest the claim that the poor adjust their aspirations downwards.

Highlights

In the run up to the 2015 target date for the Millennium Development Goals (MDGs), there are an increasing number of claims that the first MDG has been met ahead of schedule, even for the poorest region of the world, sub-Saharan Africa (Chandy and Gertz 2011; Pinkovskiy and Sala-IMartin 2010; United Nations 2012)
We present the first study of multidimensional poverty in Benin using the consensual or socially perceived necessities approach
This paper adopts the consensual approach to poverty measurement, a method which has been used to great effect in a number of high and middle income countries, and applies it to a low-income country (Benin)

Summary

Introduction

In the run up to the 2015 target date for the Millennium Development Goals (MDGs), there are an increasing number of claims that the first MDG (to reduce by half the proportion of people living in extreme poverty) has been met ahead of schedule, even for the poorest region of the world, sub-Saharan Africa (Chandy and Gertz 2011; Pinkovskiy and Sala-IMartin 2010; United Nations 2012). While heated debate continues about the choice of indicator being used to monitor progress (the World Bank’s commonly referred to ‘‘Dollar a Day’’), and its suitability to reflect adequately and appropriately the needs of poor people around the world (Chen and Ravallion 2008; Gordon 2002; Reddy and Pogge 2008) even older discussions, on how poverty should be conceptualised, assessed and measured, continue among academics, policy makers and others interested in assessing people’s living conditions. This paper adopts the consensual approach to poverty measurement, a method which has been used to great effect in a number of high and middle income countries, and applies it to a low-income country (Benin). Along with a discussion of the issue of adaptive preferences and the implications of the approach for researchers interested in pursuing similar work in other countries

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