An Examination of Methods to Estimate Poverty Line in Indonesia

The first objective of this paper is to set out a new approach for estimating regional poverty lines in Indonesia. The approach is referred as a utility-consistent poverty line (UCPL) approach. It is based on a theory of price index or cost of living index (COLI). The second objective is to examine...

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Bibliographic Details
Main Author: Muhammad Nashihin
Format: Article
Language:English
Published: Universitas Islam Indonesia 2011-09-01
Series:Economic Journal of Emerging Markets
Online Access:http://uiistage.openjournaltheme.com/3310/index.php/JEP/article/view/2286
Description
Summary:The first objective of this paper is to set out a new approach for estimating regional poverty lines in Indonesia. The approach is referred as a utility-consistent poverty line (UCPL) approach. It is based on a theory of price index or cost of living index (COLI). The second objective is to examine the development of methods for estimating poverty lines in general and methods used to estimate regional poverty lines in Indonesia. The survey focuses on comparing these methods with UCPL approach. The paper finds out that the existing methods used to estimate poverty line in Indonesia are not able to generate utility-consistent poverty lines. Keywords: Poverty line, spatial cost of living, food energy intake, ravallion method
ISSN:2086-3128
2502-180X