Please use this identifier to cite or link to this item: http://hdl.handle.net/10419/34644
Authors: 
Aaberge, Rolf
Mogstad, Magne
Year of Publication: 
2007
Series/Report no.: 
IZA Discussion Papers 2659
Abstract: 
As an alternative to the conventional methods for measuring chronic poverty, this paper proposes an interpersonal comparable measure of permanent income as a basis for defining and measuring chronic poverty. This approach accounts for the fact that individuals regularly undertake inter-period income transfers. Moreover, the approach allows for individual-specific interest rates on borrowing and saving as well as for the presence of liquidity constraints. Due to the general nature the proposed method proves useful for evaluating the theoretical basis of the standard methods for measuring chronic poverty.
Persistent Identifier of the first edition: 
Document Type: 
Working Paper

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