Duration and persistence in multidimensional deprivation: Methodology and Australian application

Aaron James Nicholas, Ranjan Ray

Research output: Contribution to journalArticleResearchpeer-review

14 Citations (Scopus)

Abstract

This article extends the recent literature on static multidimensional deprivation to propose dynamic deprivation measures that incorporate both the persistence and duration of deprivation across multiple dimensions. The article then illustrates the usefulness of the extension by applying it to Australian panel data for the recent period, 2001?2008. The empirical application exploits the subgroup decomposability of the deprivation measures to identify the subgroups that are more deprived than others. The proposed measure is also decomposable by dimensions and is used to identify the dimensions where deprivation is more persistent. The comparison between the subgroups shows that the divide between homeowners and non-homeowners is one of the sharpest, with the latter suffering much more deprivation than the former. The results are robust to alternative schemes for weighting and aggregating the dimensions as well as to the choice of model parameters.
Original languageEnglish
Pages (from-to)106 - 126
Number of pages21
JournalEconomic Record
Volume88
Issue number280
DOIs
Publication statusPublished - 2012

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