Poverty over time: theoretical approaches

Abstract

Historically, the measurement of poverty has been based on a set of key axioms but limited to a static framework. Features such as multidimensionality and the time factor have only recently been incorporated into poverty measurement. Several alternative approaches have been proposed. This chapter presents a review of the literature that proposes how to conceptualize or develop specific measures of inter-temporal or lifetime poverty, addressing measurement issues, alternative perspectives on frequency, and concerns about data availability. Reflecting this budding literature, the chapter presents alternative axioms that have been proposed to capture the various approaches to inter-temporal or lifetime poverty. A variety of combinations and alternative formulations of these axioms is considered. Concluding remarks underline the need for further research and focus on the role of empirical analysis in shedding light on issues such as mitigation and chronic poverty.