{"title":"The Effects of Rising Food Prices on Poverty in Mexico","authors":"J. Valero-Gil, Magali Valero","doi":"10.2139/ssrn.1262274","DOIUrl":"https://doi.org/10.2139/ssrn.1262274","url":null,"abstract":"We evaluate the impact of the rise in food prices during 2006-2008 on the poverty and extreme poverty rates in Mexico. We concentrate on the poor's consumption of staple foods, and analyze the change in their consumption brought about by changed prices. We also allow households receiving income from the farming and livestock sector to benefit from increases in prices of food products. We find a modest increase in poverty using 2006-2007 prices; however, there is a daunting effect on the poor once the 2008 prices are taken into account. After considering the positive effects of public policies announced in 2008, such as reduced taxes and tariffs on food products and greater subsidies to the extremely poor, the poverty rate measured through consumption increases from 25% to 33.5%, and the extreme poverty rate from 10.58% to 15.95%, given the increase in food prices. Further analysis using the theory of optimal taxes suggests policies oriented towards relieving the food price pressure on the Mexican poor should aim at lowering the prices of eggs, vegetable oil, milk, and chicken. Copyright (c) 2008 International Association of Agricultural Economists.","PeriodicalId":430651,"journal":{"name":"PIDIA: Low Income Families with Children (Topic)","volume":"120 4 1","pages":"0"},"PeriodicalIF":0.0,"publicationDate":"2008-09-02","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"129365837","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"Utilization of Employment Tax Credits: An Analysis of Employees Eligible for the 'Empowerment Zone' Wage Tax Credit","authors":"A. Hanson","doi":"10.2139/SSRN.944974","DOIUrl":"https://doi.org/10.2139/SSRN.944974","url":null,"abstract":"This paper gives the first estimates for employee use of the Empowerment Zone (EZ) wage tax credit, a wage subsidy claimed by employers who operate in and hire residents of federally designated areas experiencing economic distress in the 1990s. I show that about 6.4 percent (and at least 3.5 percent) of the working age population was claimed under the EZ wage credit for 1999. In addition, I estimate that 24.2 percent (and at least 13.1 percent) of those employed inside of the target area were claimed for the credit. These national estimates of use are created using information on credit dollars claimed from the IRS as well as population data on those eligible to be claimed from the Census. The measures of tax credit use presented in this paper are an alternative to firm use rates presented in the literature, and reveal how effective the credit is at reaching residents of the target area.","PeriodicalId":430651,"journal":{"name":"PIDIA: Low Income Families with Children (Topic)","volume":"24 1","pages":"0"},"PeriodicalIF":0.0,"publicationDate":"2006-11-14","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"117348605","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"The Cost of Caring for Young Children","authors":"Dan T. Rosenbaum, C. Ruhm","doi":"10.3386/W11837","DOIUrl":"https://doi.org/10.3386/W11837","url":null,"abstract":"This study examines the \"cost burden\" of child care, defined as day care expenses divided by after-tax income. Data are from the wave 10 core and child care topical modules to the 1996 Survey of Income and Program Participation. We estimate that the average child under six years of age lives in a family that spends 4.9 percent of after-tax income on day care. However, this conceals wide variation: 63 percent of such children reside in families with no child care expenses and 10 percent are in families where the cost burden exceeds 16 percent. The burden is typically greater in single-parent than married-couple families but is not systematically related to a measure of socioeconomic status that we construct. One reason for this is that disadvantaged families use lower cost modes and pay less per hour for given types of care. The cost burden would be much less equal without low cost (presumably subsidized) formal care focused on needy families, as well as government tax and transfer policies that redistribute income towards them.","PeriodicalId":430651,"journal":{"name":"PIDIA: Low Income Families with Children (Topic)","volume":"64 1","pages":"0"},"PeriodicalIF":0.0,"publicationDate":"2005-11-01","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"130274704","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"Toward an Understanding of Household Vulnerability in Rural Kenya","authors":"L. Christiaensen, K. Subbarao","doi":"10.1093/JAE/EJI008","DOIUrl":"https://doi.org/10.1093/JAE/EJI008","url":null,"abstract":"Considerations of risk and vulnerability are key to understanding the dynamics of poverty. This study conceives vulnerability as expected poverty and illustrates a methodology to empirically assess household vulnerability using pseudo panel data derived from repeated cross sections augmented with historical information on shocks. Application of the methodology to data from rural Kenya shows that in 1994 rural households faced on average a 40 percent chance of becoming poor in the future. Households in arid areas that experience large rainfall volatility appear more vulnerable than those in non-arid areas, where malaria emerges as a key risk factor. Idiosyncratic shocks also cause non-negligible consumption volatility. Possession of cattle and sheep/goats appears ineffective in protecting consumption against covariant shocks, though sheep/goat help reduce the effect of idiosyncratic shocks, especially in arid zones. Of the policy instruments simulated, interventions directed at reducing the incidence of malaria, promoting adult literacy, and improving market accessibility hold most promise to reduce vulnerability.","PeriodicalId":430651,"journal":{"name":"PIDIA: Low Income Families with Children (Topic)","volume":"11 1","pages":"0"},"PeriodicalIF":0.0,"publicationDate":"2004-05-27","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"122252109","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"Measuring Poverty Using Qualitative Perceptions of Welfare","authors":"M. Ravallion, M. Pradhan","doi":"10.1596/1813-9450-2011","DOIUrl":"https://doi.org/10.1596/1813-9450-2011","url":null,"abstract":"The authors show how subjective poverty lines can be derived using simple qualitative assessments of perceived consumption adequacy, based on a household survey. Respondents were asked whether their consumption of food, housing, and clothing was adequate for their family's needs. The author's approach, by identifying the subjective poverty line without the usual\"minimum-income question,\"offers wide applications in developing country settings. They implement it using survey data for Jamaica and Nepal. The implied subjective poverty lines are robust to alternative methods of dealing with other components of consumption, for which the subjective\"adequacy\"question was not asked. The aggregate poverty rates based on subjective poverty lines come close to those based on independent\"objective\"poverty lines. There are notable differences, however, when geographic and demographic poverty profiles are constructed.","PeriodicalId":430651,"journal":{"name":"PIDIA: Low Income Families with Children (Topic)","volume":"26 1","pages":"0"},"PeriodicalIF":0.0,"publicationDate":"1998-11-01","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"134621326","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"Transfers, Social Safety Nets, and Economic Growth","authors":"Xavier Sala-i-Martin","doi":"10.2307/3867498","DOIUrl":"https://doi.org/10.2307/3867498","url":null,"abstract":"This paper analyzes the role of social safety nets in the form of redistributional transfers and wage subsidies. It argues that public welfare programs can be viewed as devices to prevent crime or disruption because they tend to increase the opportunity cost of engaging in crime or disruptive activities. It is shown that, in the presence of a leisure choice, wage subsidies may be better than pure transfers. Using a simple growth model, the optimal size of the public welfare program is found, and it is argued that public welfare should be financed with income (not lump-sum) taxes, despite the fact that income taxes are distortionary. The intuition for this result is that income taxes act as a user fee on congested public goods and transfers can be thought of as productive public goods subject to congestion.","PeriodicalId":430651,"journal":{"name":"PIDIA: Low Income Families with Children (Topic)","volume":"199 1","pages":"0"},"PeriodicalIF":0.0,"publicationDate":"1996-04-01","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"130732517","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"The Role of Labor and Marriage Markets, Preference Heterogeneity and the Welfare System in the Life Cycle Decisions of Black, Hispanic and White Women","authors":"M. Keane, K. Wolpin","doi":"10.2139/ssrn.889550","DOIUrl":"https://doi.org/10.2139/ssrn.889550","url":null,"abstract":"Using data from the NLSY79, we structurally estimate a dynamic model of the life cycle decisions of young women. The women make joint and sequential decisions about school attendance, work, marriage, fertility and welfare participation. We use the model to perform a set of counterfactual simulations designed to shed light on three questions: (1) How much of observed minority-majority differences in behavior can be attributed to differences in labor market opportunities, marriage market opportunities, and preference heterogeneity? (2) How does the welfare system interact with these factors to augment those differences? (3) How can new cohorts that grow up under the new welfare system (TANF) be expected to behave compared to older cohorts?","PeriodicalId":430651,"journal":{"name":"PIDIA: Low Income Families with Children (Topic)","volume":"7 1","pages":"0"},"PeriodicalIF":0.0,"publicationDate":"1900-01-01","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"132407516","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}
{"title":"Children, Time and Poverty: The Impact on Children of Easing Poor Families' Credit Constraints","authors":"J. Escobal, P. Pereznieto","doi":"10.2139/ssrn.1082484","DOIUrl":"https://doi.org/10.2139/ssrn.1082484","url":null,"abstract":"Young Lives is an international longitudinal study on childhood poverty and policy in Ethiopia, India (Andhra Pradesh), Peru and Vietnam. This paper draws on examples from Young Lives quantitative and qualitative research and analyses to illustrate how household decisions and the policy context can underpin children's role as economic actors. It focuses on how credit constraints can influence household decisions to either invest in children's schooling or engage them in economic activities, with potential medium- to long-term repercussions for their wellbeing and level of human capital accumulation. Additionally, the paper briefly explores the contexts under which children's agency, including combining school with work activities, can be positive for their own development through greater socialisation, strengthening of useful skills, interaction with family members, as well as contributing to their household's livelihood strategies.","PeriodicalId":430651,"journal":{"name":"PIDIA: Low Income Families with Children (Topic)","volume":"21 1","pages":"0"},"PeriodicalIF":0.0,"publicationDate":"1900-01-01","publicationTypes":"Journal Article","fieldsOfStudy":null,"isOpenAccess":false,"openAccessPdf":"","citationCount":null,"resultStr":null,"platform":"Semanticscholar","paperid":"122132913","PeriodicalName":null,"FirstCategoryId":null,"ListUrlMain":null,"RegionNum":0,"RegionCategory":"","ArticlePicture":[],"TitleCN":null,"AbstractTextCN":null,"PMCID":"","EPubDate":null,"PubModel":null,"JCR":null,"JCRName":null,"Score":null,"Total":0}