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www.coneval.gob.mxMultidmensional Poverty Measurement: The Mexican Wave Gonzalo Hernndez Licona

March, 2014Measuring poverty according to the Social Development Law (2005)Dimensions for poverty measurementCurrent income per capita

Educational gap

Access to health services

Access to social security

Quality of dwelling

Dwellings basic services

Access to food

National, State and Municipality levelSocial rights approach2Advantages of the social rights approachIt solves problems of weights and thresholds:Since human rights are indivisible & interdependent, they all have the same relative importance. They have the same weight.The Mexican regulation sets thresholds for several dimensions.

The poverty measurement has a normative approach.

Social RightsDeprivationsMain featuresIncome cut-offWithoutDeprivations0352416PoorIncomeEducationHealth services Social security Quality dwelling Dwellings servicesAccess to food

Moderate poorSocial RightsDeprivationsIncome cut-offExtreme poor03Vulnerable people by social deprivationsVulnerable people by income52416Not poor and not vulnerableMinimum IncomeCut-off Public policyPoverty identificationIncomeSocial RightsDeprivationsEWL 0352416Not poor and not vulnerable21.8 million19.3%

MWLIncomeTotal population 2010 (112.6 millions)Urban = $2,114 Rural = $1,329Source: estimates by CONEVAL based on MCS-ENIGH 2010.Extreme poor 10.4% (11.7 million)3.7 deprivations on average

35.8% (40.3 million)2.1 deprivations on averageModerate poorUrban = $978 Rural = $684 46.2 % 52.0 millions 2.5 deprivations on average

Poverty6

Change in multidimensional poverty 2008-2010.Mexico

Fuente: estimaciones del CONEVAL con base en el MCS-ENIGH 2008 y 2010PovertyNr of people with low incomeAccess to foodBasic services in the houseQuality of housingAccess to social security Access to health servicesEducational gapDeprivationsMillions of People7Using the multidimensional approach for policy purposesIt is now possible to evaluate the effect of social policy not only on income poverty but also on specific social deprivations.

Measuring poverty in a multidimensional way helps governments to do better in terms of policy

Poverty is a multidimensional phenomenon and must be tackled and measured in a multidimensional way AnnexSocial RightsDeprivationsLBE 03Vulnerable people by social deprivation 32.3 million28.7%1.9 deprivations on averageVulnerable people by income6.5 million5.8%52416Not poor and not vulnerable21.8 million19.3%

LBMWellbeingIncomeTotal population 2010 (112.6 millions)Urban = $2,114 Rural = $1,329Source: estimates by CONEVAL based on MCS-ENIGH 2010.Extreme poor 10.4% (11.7 million)3.7 deprivation on average

35.8% (40.3 million)2.1 deprivations on averageModerate poorUrban = $978 Rural = $684 46.2 % 52.0 millions 2.5 deprivations on average

Poverty10Educational gap[20.6%]Social DeprivationsAccess to health services[31.8%] Access to social security [60.7%] Quality of dwelling [15.2%]Access to housing basic services [16.5%]Access to food[24.9%]

Source: estimations of CONEVAL based on MCS-ENIGH 2010.Economic wellbeingIncomes below EWL [52.0%]Incomes below EMWL[19.4%]Source: estimations of CONEVAL based on MCS-ENIGH 2010.ThresholdsLegal criteriaExperts criteriaHow to determine thresholds? Social rightsConsultation with specialists

Use of legal norms, if they exist

Public institutions

Health, Housing, Social Security, Education

14Educational gapPopulation aged 3-15 yearsPopulation aged16 years or olderShe or he is not attending a formal educational centerWhen someone was born before 1981 and lacks the mandatory basic education current at the time he or she should have completed it. Primary

When someone was bornbefore 1982 and lacks the mandatory basic education current at the time she should have completed it. SecondaryHow to determine thresholds of social deprivations? 15When a person is not enrolled in or not entitled to receive medical services from:Popular InsuranceA social security public institutionA private medical serviceAcces to health servicesHow to determine thresholds of social deprivations? Access to social security

If the worker does not receive medical services as a work benefit or through voluntary enrollment and a retirement investment planDirect accessFamily nucleusOther family nucleus and voluntary enrollmentIf a person is not enrolled in an institution that provides medical services by voluntary enrollment.If the spouse,child, parent, -law of the head of household is not enrolled in an medical institutionIf the person does not have a relative who has access to social securityIf the person is not beneficiary of a social program of pensions for senior citizensHow to determine thresholds of social deprivations? 17Quality of living spacesWhen the material is cardboard sheets or residue materialRoofsWallsFloorsOvercrowdingWhen the material is mud or daub&wattle; reed, bamboo or palm; cardboard, metal or asbestos sheets; residue materialWhen the material of the floor is soilWhen the ratio of people per room is greater than 2.5How to determine thresholds of social deprivations? 18Housing access to basic servicesWhen it is obtained from a well, river, lake, stream, or truck.When piped water is carried from another dwelling or gotten at a public faucet or hydrantWaterDrainage serviceElectricity No drainage service. When the drain is connected to pipes leading to a river, lake, sea, ravine or crackWhen there is no electricityHow to determine thresholds of social deprivations? 19Food security

Food insecurityAcess tofood

Deprivation due to lack of access to foodSlight

Moderate

SevereHow to determine thresholds of social deprivations? 20Food basketNon food basketMinimum economic wellbeing lineChanges on current consumption patternsCalorics requirements & micronutrientsRural & urban settingsEconomic wellbeing

How to determine thresholds? Economic WellbeingGoods and services have an income elasticity