Transcript Gonzalo Hernandez Licona, Executive Secretary, CONEVAL, Mexico

Multidmensional Poverty Measurement:
The Mexican Wave
Gonzalo Hernández Licona
March, 2014
www.coneval.gob.mx
Measuring poverty according to the Social
Development Law (2005)
Dimensions for
poverty
measurement
Social rights’
approach
• Current income per capita
• Educational gap
• Access to health services
• Access to social security
• Quality of dwelling
National,
State and
Municipality
level
• Dwelling’s basic services
• Access to food
Advantages of the social rights
approach
• It solves problems of weights and thresholds:
– Since human rights are indivisible &
interdependent, they all have the same relative
importance. They have the same weight.
– The Mexican regulation sets thresholds for several
dimensions.
• The poverty measurement has a normative
approach.
Main features
Income
Without
D
e
p
r
i
v
a
t
i
o
n
s
Income
cut-off
Poor
6
5
4
3
2
Deprivations
Social Rights
1
0
Education
Health services
Social security
Quality dwelling
Dwelling´s
services
• Access to food
•
•
•
•
•
Income
Poverty identification
Vulnerable
people by
social
deprivations
Income
cut-off
Not poor and
not
vulnerable
Moderate
Minimum
Income
Cut-off
Vulnerable
people by
income
poor
Extreme poor
6
5
4
3
2
Deprivations
Social Rights
1
0
Total population 2010 (112.6 millions)
Income
Not poor and
not vulnerable
21.8 million
19.3%
Urban = $2,114 Rural = $1,329
EWL
MWL
Moderate poor
35.8%
(40.3 million)
2.1 deprivations
on average
Urban = $978 Rural = $684
Extreme
poor
6
5
10.4%
(11.7 million)
3.7 deprivations on
average
4
3
2
1
Deprivations
Social Rights
0
Poverty
46.2 %
52.0 millions
2.5 deprivations
on average
Source: estimates by CONEVAL based on MCS-ENIGH 2010.
Millions of People
Poverty
3.2
Nr of people with low income
-0.8
4.8
Educational gap
Access to social
security
-2.9
Quality of housing
-2.3
Basic services in the house
-2.5
Access to food
-10.0
-8.0
-6.0
-4.0
Deprivations
Access to health
services
-9.0
-2.0
4.1
0.0
2.0
4.0
Fuente: estimaciones del CONEVAL con base en el MCS-ENIGH 2008 y 2010
6.0
Using the multidimensional approach for
policy purposes
• Measuring poverty in a multidimensional way helps
governments to do better in terms of policy
• It is now possible to evaluate the effect of social
policy not only on income poverty but also on specific
social deprivations.
• Poverty is a multidimensional phenomenon and must
be tackled and measured in a multidimensional way
Total population 2010 (112.6 millions)
Not poor and
not vulnerable
Income
Wellbeing
Vulnerable people by social
deprivation
21.8 million
19.3%
32.3 million
28.7%
1.9 deprivations on average
Urban = $2,114 Rural = $1,329
LBE
LBM
Moderate poor
35.8%
(40.3 million)
2.1 deprivations
on average
Urban = $978 Rural = $684
Extreme
poor
6
5
10.4%
(11.7 million)
3.7 deprivation on
average
4
3
2
Vulnerable
people by
income
6.5 million
5.8%
1
Deprivations
Social Rights
0
Poverty
46.2 %
52.0 millions
2.5 deprivations
on average
Source: estimates by CONEVAL based on MCS-ENIGH 2010.
Social Deprivations
Educational gap
[20.6%]
Access to health services
[31.8%]
Access to social security
[60.7%]
Quality of dwelling
[15.2%]
Access to housing basic services
Access to food
[16.5%]
[24.9%]
Source: estimations of CONEVAL based on MCS-ENIGH 2010.
Economic wellbeing
Incomes below EWL
[52.0%]
Incomes below EMWL
[19.4%]
Source: estimations of CONEVAL based on MCS-ENIGH 2010.
How to determine thresholds?
Social rights
Legal criteria
Use of legal norms,
if they exist
Consultation with specialists
Experts
criteria
Public institutions
Health, Housing, Social
Security, Education
How to determine thresholds of
social deprivations?
Population aged
3-15 years
Educational
gap
Population aged
16 years
or older
She or he is not
attending a formal
educational center
•When someone was born before
1981 and lacks the mandatory
basic education current at the
time he or she should have
completed it. Primary
• When someone was born
before 1982 and lacks the
mandatory basic education
current at the time she should
have completed it. Secondary
How to determine thresholds of
social deprivations?
When a person is not enrolled in or not entitled
to receive medical services from:
Popular Insurance
Acces to health
services
A social security public
institution
A private medical
service
How to determine thresholds of
social deprivations?
Direct
access
Access to
social
security
Family
nucleus
•If the worker does not receive medical
services as a work benefit or through
voluntary enrollment and a retirement
investment plan
•If a person is not enrolled in an institution that
provides medical services by voluntary
enrollment.
•If the spouse,child, parent, -law of the head
of household is not enrolled in an medical
institution
Other family nucleus
and voluntary
enrollment
If the person does not have a
relative who has access to
social security
If the person is not beneficiary of a social
program of pensions for senior citizens
How to determine thresholds of
social deprivations?
When the material is cardboard
sheets or residue material
Roofs
Quality of living
spaces
Walls
When the material is mud or
daub&wattle; reed, bamboo or
palm; cardboard, metal or asbestos
sheets; residue material
Floors
When the material of the floor is
soil
Overcrowding
When the ratio of people
per room is greater than 2.5
How to determine thresholds of
social deprivations?
Water
Housing access
to basic services
Drainage
service
Electricity
•When it is obtained from a well,
river, lake, stream, or truck.
•When piped water is carried
from another dwelling or gotten
at a public faucet or hydrant
• No drainage service.
• When the drain is connected to
pipes leading to a river, lake, sea,
ravine or crack
When there is no electricity
How to determine thresholds of
social deprivations?
Food
security
Acess to
food
Slight
Food
insecurity
Moderate
Severe
Deprivation
due to lack
of access to
food
How to determine thresholds?
Economic Wellbeing
Food basket
Minimum economic
wellbeing line
Non food basket
Economic wellbeing
Changes on current
consumption patterns
Necessary goods
& services
Calorics requirements
& micronutrients
Goods and services have
an income elasticity<1
Rural & urban settings
Rural & urban settings
PROPERTIES
• Estimates for incidence, depth and intensity (average
number of deprivations)
• Population groups decomposable
• Dimension decomposable
• Comparability across time
• In the space of social rights, equivalent to M0=H·A
Rigorous
Social Deprivation Index (SDI) and MP measures:
•
satisfy a set of axiomatic properties (Alkire y Foster, 2007)
•
the SDI also satisfies the validity, reliability and additivity properties
(Gordon; 2007,2010)