Poverty  Measurement  in  the  Philippines1  

Lisa  Grace  S.  Bersales  

Na;onal  Sta;s;cian  

Philippine  Sta;s;cs  Authority  

1  presented  at  the    Side  Event  on  Mul;dimensional  Poverty  Measurement,    46th  Session  of  the  UN  Sta;s;cal  Commission  

Official  Poverty  Sta;s;cs    in  the  Philippines  

•  Highly  an;cipated  by  many  stakeholders  •  Income-­‐based  

•  Compared  with  self-­‐rated  poverty  sta;s;cs  by  a  private  group    

•  Need  to  capture  other  dimensions  

•  Technical  CommiOee  on  Poverty  Sta;s;cs  provides  guidance    

23.4   22.9   22.3  19.1  

57  

48.5  

53  50.5  

0  

10  

20  

30  

40  

50  

60  

1   2   3   4  

poverty  incide

nce(%)  

Year  

Poverty  Incidence  for  Families  Philippines  

Official  poverty  incidence  

self-­‐rated  poverty  incidence  

               2006                                                                  2009                                                                      2012                                                            2013                                  

Study  by  Planning  Minister  

•  Multidimensionality of poverty: No longer debatable “Multiple deprivations of different kinds… experienced simultaneously by the poor” “beyond growth much  needs  to  be  done  to  make  development  more  inclusive  “

• No one-for-one correspondence between income poverty & other deprivations • Increasing demand from policy makers • New methodologies exist • Alkire-Foster methodology>> dashboard of dimensions of poverty

Attainment dimensions

Attainment indicators

Deprivation matrix

Aggregate attainment

Multidimensional Poverty Index (MPI)

Headcount (H)

Intensity (A)

Poverty cut-off

Dimension weights

Deprivation cut-off

Methodology

Source:  Balisacan(2014)  What  has  really  happened  to  poverty  in  the  Philippines?    and  Edillon(2014),  Mul;dimensional  Poverty  

DATASET YEARS AVAILABLE

National Demographic and Health Survey (NDHS) 1993, 1998, 2003, 2008

Family Income and Expenditure Survey (FIES)

1988, 1991, 1994, 1997, 2000, 2003, 2006, 2009, 2012

Annual Poverty Indicator Survey (APIS)

1998, 2002, 2004, 2007, 2008, 2010, 2011, 2013*

*Unit  record  data  not  yet  available  at  the  2me  of  study  

Nationally representative surveys

Source:  Balisacan(2014)  What  has  really  happened  to  poverty  in  the  Philippines?    and  Edillon(2014),  Mul;dimensional  Poverty  

Health Education Standard of Living

Weight 1/3 1/3 1/3

Components (equal weights, nested)

NDHS 2 (2) 2 4

FIES 2 (3) 2 5 (7)

APIS 2 (3) 2 4 (7)

Weights

Source:  Balisacan(2014)  What  has  really  happened  to  poverty  in  the  Philippines?    and  Edillon(2014),  Mul;dimensional  Poverty  

NDHS FIES APIS HEALTH Child Mortality ✓ Water ✓ ✓ Sanitation ✓ ✓ Nutrition Food poverty ✓a ✓ ✓ EDUCATION Years of Schooling ✓ ✓ ✓ Child School Attendance ✓ ✓ Potential Schooling ✓ STANDARD OF LIVING Electricity ✓ ✓ ✓ Shelter Flooring ✓ Roof ✓ ✓ Wall ✓ ✓ Mobility Access to motor vehicles ✓ ✓ Access to national roads ✓ Asset ownership Household Assets ✓ ✓ ✓ Transport ✓ House tenure ✓ Other sources of income ✓ ✓

Achievement (Deprivation) Dimensions

Source:  Balisacan(2014)  What  has  really  happened  to  poverty  in  the  Philippines?    and  Edillon(2014),  Mul;dimensional  Poverty  

0.000

0.100

0.200

0.300

0.400

0.500

0.600

1985 1990 1995 2000 2005 2010 2015

Hea

dcou

nt ra

tio

Hm (FIES)** Hm (APIS) Hm (NDHS) Hy*

Multidimensional Headcount (Hm) vs. Income Headcount (Hy)

*Uses  official  per  capita  food  poverty  threshold  for  2009  (among  families).  **Note:  Line  indicates  that  before  2000  the  FIES-­‐generated  MPI  uses  a  different  defini2on  of  assets.    

Source:  Balisacan(2014)  What  has  really  happened  to  poverty  in  the  Philippines?    and  Edillon(2014),  Mul;dimensional  Poverty  

Percent contribution to

MPI, 2012

Percentage of population who are MPI poor and deprived in each indicator

14.9%

8.1%

13.7%

5.6%

16.0%

5.2%

2.6%

3.9%

2.8%

13.7%

13.5%

0% 5% 10% 15% 20% 25% 30% 35% 40% 45%

Water

Sanitation

Food poor

Years of schooling

Child school attendance

Electricity

Shelter (roof)

Shelter (walls)

Mobility

Income from other sources

Ownership of assets

Hea

lth

Educ

atio

n St

anda

rd o

f liv

ing

Percent of population FIES 2012 FIES 2000

Source:  Balisacan(2014)  What  has  really  happened  to  poverty  in  the  Philippines?    and  Edillon(2014),  Mul;dimensional  Poverty  

Intensity & headcount of multidimensional poverty, by region, FIES 2012

Ilocos

Cagayan Valley

C. Luzon

Bicol W. Visayas

C. Visayas

E. Visayas

Zamboanga

N. Minsanao

Davao

Socckskargen

NCR

CAR

ARMM

Caraga

Calabarzon

Mimaropa

0.25

0.30

0.35

0.40

0.45

0.50

0.55

0.60

0.65

0.00 10.00 20.00 30.00 40.00 50.00 60.00 70.00 80.00 90.00 100.00

Aver

age

inte

nsity

of M

P (A

)

MP headcount ratio (%) Source:  Balisacan(2014)  What  has  really  happened  to  poverty  in  the  Philippines?    and  Edillon(2014),  Mul;dimensional  Poverty  

Multidimensional headcount (Hm) vs. Income headcount (Hy), FIES 2012

0

10

20

30

40

50

60

70

80

90

Hea

dcou

nt (%

)

Hm - Health dimension Hm - Standard of living dimension Hm - Education dimension Hy - Income headcount

Source:  Balisacan(2014)  What  has  really  happened  to  poverty  in  the  Philippines?    and  Edillon(2014),  Mul;dimensional  Poverty  

Moving  Forward  

•  Study  to  start  in  March  2015  on  enhancing  household  surveys  including  development  of  an  integrated  household  survey  for  a  comprehensive  framework  for  poverty  measurement  in  the  Philippines  

•  Need  a  communica;on  plan  for  the    comprehensive  framework  

•  For  review  and  endorsement  of  the  technical  commiOee    

•  Thank  you!