Distinguishing Chronic Poverty from Transient Poverty in Brazil: Developing a Model for Pseudo-Paned Data – Working Paper # 36

In this Working Paper Rafael Ribas and Ana Flávia Machado analyze the dynamics of poverty in Brazil using a panel data of cohorts from the Annual National Household Survey. The authors propose a methodology for decomposing chronic and transient poverty that does not require a panel of individuals, but allows the estimation of probabilities based on Markov matrices. According to this methodology, between 1995 and 2003, up to 73 per cent of the urban poor should be considered to be in chronic poverty. 

Available online at: http://www.undp-povertycentre.org/pub/IPCWorkingPaper36.pdf  

Other IPC publications at: http://www.undp-povertycentre.org/ipcpublications.htm

International Poverty Centre

United Nations Development Programme (UNDP)

Institute for Applied Economic Research (IPEA)

povertycentre@undp-povertycentre.org