Escaping and Falling into Poverty in India Today.
Amit Thorat1, Reeve Vanneman2, Sonalde Desai2
1Jawaharlal Nehru University.
World Development
|October 3, 2017
Summary
Poverty dynamics in India show marginalized groups like Dalits and Adivasis face higher poverty risks. Factors helping escape poverty differ from those causing it, with varying effect strengths.
Area of Science:
- Socioeconomic studies
- Development economics
- Indian economic policy
Background:
- Poverty reduction in India has been substantial.
- Understanding poverty dynamics requires analyzing movements into and out of poverty.
- Marginalized communities often face persistent socioeconomic challenges.
Purpose of the Study:
- To examine the dynamic nature of poverty transitions in India between 2005 and 2012.
- To identify factors influencing escaping poverty and falling into poverty.
- To assess the differential risks faced by marginalized communities.
Main Methods:
- Utilizing panel data from the India Human Development Survey (IHDS) for 2005 and 2012.
- Employing logistic regression analysis to model poverty transitions.
- Analyzing the role of educational, financial, and social disadvantages.
Main Results:
- Marginalized groups (Dalits, Adivasis) had higher risks of falling into or remaining in poverty.
- Educational, financial, and social disadvantages partially explained these higher risks.
- Factors promoting poverty escape differ from those causing poverty entry, with varying effect magnitudes.
Conclusions:
- Despite overall poverty reduction, significant disparities in poverty dynamics persist in India.
- Addressing socioeconomic disadvantages is crucial for mitigating poverty risks among marginalized populations.
- Policy interventions should consider the distinct factors driving poverty entry and exit.
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