Poverty and Time

Abstract

We examine the measurement of individual poverty in an intertemporal context. In contrast to earlier contributions, we assign importance to the persistence in a state of poverty and we characterize a class of individual intertemporal poverty measures reflecting this feature. In addition, we axiomatize an aggregation procedure to obtain intertemporal poverty measures for entire societies and we illustrate our new indices with an application to EU countries.Intertemporal Poverty Measurement, Equity