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Title of Journal: Soc Indic Res

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Abbravation: Social Indicators Research

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Springer Netherlands

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DOI

10.1016/0009-8981(81)90184-4

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1573-0921

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How to Reduce the Impact of Equivalence Scales on

Authors: Gianni Betti Mehmet Ali Karadag Ozlem Sarica Baris Ucar
Publish Date: 2016/04/20
Volume: 132, Issue: 3, Pages: 1023-1035
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Abstract

The main aim of the paper is to contribute to the poverty measurement literature by demonstrating a method to reduce the impact of equivalence scales in poverty measurement This is accomplished by choosing the most appropriate reference household type The results showed that one adult household is certainly not suitable for being the reference household type When one adult household is set as the reference in the range of no equivalence scale and per capita equivalence scale poverty head count ratio changes from 1 to 48  showing the huge effect of the equivalence scale choice Also the analyses at household size level showed that one adult household type is not convenient to be the reference household type On the other hand no clear distinction could be made between central household types but the importance of choosing a household type close to the center was demonstrated for Turkish data

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