Multidimensional poverty in South Africa in 2001-2016

Stellenbosch Working Paper Series No. WP07/2018
 
Publication date: May 2018
 
Author(s):
[protected email address] (Department of Economics, University of the Western Cape)
[protected email address] (Department of Economics, University of the Western Cape)
 
Abstract:

This study uses the Census 2001 and 2011 as well as Community Survey 2007 and 2016 data to derive a multidimensional poverty index (MPI) in South Africa for each year, before assessing the changes in non-money-metric, multidimensional poverty over time. Both the incidence and intensity of multidimensional poverty decreased continuously, and these declines were more rapid than that of money-metric poverty. The decrease of multidimensional poverty between 2001 and 2016 was most rapid for female Africans residing in rural areas in Eastern Cape and KwaZulu-Natal provinces. Multidimensional poverty was most serious in numerous district councils (DCs) in these two provinces, despite the fact that poverty decline was also most rapid in these DCs. The results of the MPI decomposition indicated that Africans contributed more than 95% to multidimensional poverty, while unemployment, years of schooling and disability were the three indicators contributing most to poverty.

 
JEL Classification:

J30, J32

Keywords:

Multidimensional poverty, Multidimensional poverty index, South Africa

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BER Weekly

3 August 2020
The week started with news of the confirmation of the $4.3 billion (bn) loan from the International Monetary Fund (IMF) through its Rapid Financing Instrument. In the process of obtaining the loan, the government re-committed itself to the fiscal consolidation outlined in the supplementary budget presented in June, including to introduce zero-based...

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