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Jorge Garza-Rodriguez, Martha Gonzalez-Martinez, Marcela Quiroga-Lozano, Luz Solis-Santoyo and Gabriela Yarto-Weber
''“Chronic and transient poverty in Mexico: 2002-2005”''
( 2010, Vol. 30 No.4 )
This paper uses panel data to decompose total poverty into its chronic and transient components and to estimate the determinants of each type of poverty for the case of Mexico. It was found that 69 percent of total poverty is chronic and 31 percent is transient. Using censored quantile regressions techniques, it was observed that the variables explaining chronic poverty are different from those explaining transient poverty. These results indicate that chronic poverty is an issue which should have a high priority on the public policy agenda and that different public policies are needed to target chronic and transient poverty.
Keywords: poverty, poverty dynamics, chronic poverty, transient poverty, poverty measurement, Mexico
JEL: I3 - Welfare and Poverty: General
O1 - Economic Development: General
Manuscript Received : Apr 16 2010 Manuscript Accepted : Dec 02 2010

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