Gini index decomposition by deprivation in multidimensional poverty: evidence from Chad

Objective

This paper aims the decomposition of the multidimensional Gini coefficient by deprivation to investigate how aggregate multidimensional poverty inequality translates into inequality within each of its components. This approach provides a better understanding of the distribution of deprivations held, the standard of living of the population and makes recommendations on government policies.

Method

We use the method of Lerman and Yitzhaki (1985), which allows us to identify the impact of marginal changes on multidimensional inequality (fuzzy poverty inequality).

Results

The data used come from the Household Budget and Consumption Surveys of 2003 of 6695 households, 2011 of 9259 households and 2018 of 7493 households. Empirical findings suggest that the Gini index in 2003 is 0.229, 0.215 in 2011 and 0.180 in 2018.

Conclusions

The different social policies to reduce multi-inequalities must mainly be oriented towards health policies and access to drinking water, which are unequally distributed during the three periods. And social policies to reduce inequality in education, sanitation and housing are also to be taken into account.