Multi-Dimensional Poverty in America: U.S. in Global Context

Transcription

1 Multi-Dimensional Poverty in America: U.S. in Global Context Anupama Jacob, PhD, SSRC Emerging Scholar Luke Shaefer, PhD, Discussant Kristin Anderson Moore, PhD, Moderator Emerging Scholars Webinar #16 Tuesday, September 20, :00 PM EDT

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3 Overview of the SSRC Library 3

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5 Selection Criteria To nominate someone for SSRC s Emerging Scholars Initiative, her/his name and CV to the SSRC: ssrc@opressrc.org Graduate student or degree recipient No more than 10 years of experience Currently doing research on self-sufficiency issues related to SSRC topic areas Conducting high quality research that fills a knowledge gap or addresses a self-sufficiency issue that warrants greater visibility Working in academic, program, think-tank, or agency setting 5

6 6 Previous Emerging Scholars Terry-Ann Craigie, Family Structure, Stability, and Child Wellbeing Anna Gassman-Pines, The Implications of State-Wide Job Losses on Child Well-Being Julia Gelatt, Health Insurance, Health Care, and Behavior among Children of Immigrants Anna Johnson, The Role of Child Care Subsidies in the Lives of Low-Income Children Sara Kimberlin, A New Look at Chronic and Transient Poverty Using the Supplemental Poverty Measure Michael Long, Using Cost Effectiveness Analysis to inform policy responses to Childhood Obesity Katherine Magnuson, Early Care and Education: Self-Sufficiency Implications for Parents and Children Ruby Mendenhall, Pathways to Accumulating Assets among Low- and Moderate-Income Families Lenna Nepomnyaschy, Inaugural Emerging Scholar Natasha Pilkauskas, The Private Safety Net among Low-Income Families with Young Children Hannah Thomas, The Great Recession Hits Home: Asset Depletion and Foreclosure in Boston Kristin Turney, Paternal Incarceration and Child Wellbeing Luke Shaefer, What Happens When Job Loss Strikes in Low-Income Families? Artika Tyner, The Impact of Incarceration on Families, Communities, and Offenders Elizabeth Weigensberg, Using Administrative Data: Quantitative and Qualitative Insights for Workforce Development Programs Marci Ybarra, The Implications of Public Programs as Maternity-Leave among Single, Poor Mothers

7 7 Speakers Anupama Jacob, PhD, Assistant Professor, Department of Social Work, Azusa Pacific University (SSRC Emerging Scholar, July- September 2016) Luke Shaefer, PhD, Associate Professor of Social Work and Associate Professor of Public Policy, University of Michigan School of Social Work (SSRC Emerging Scholar, January-March 2013 and Discussant) Kristin Anderson Moore, PhD, Senior Scholar, Child Trends (SSRC TWG Executive Committee and Moderator)

8 Q&A Submit questions any time through the Question and Answer feature (bottom right of screen). Questions will be answered after the presentation. 8

9 Multi-Dimensional Poverty in America: U.S. in Global Context Anupama Jacob, PhD, SSRC Emerging Scholar Luke Shaefer, PhD, Discussant Kristin Anderson Moore, PhD, Moderator 9

10 10 Rationale for poverty measurement. Broad overview of different ways of measuring poverty. Multi-dimensional poverty in America: Findings from my research. Policy and practice implications. Presentation Outline

11 11 Why Look at Poverty in America? Well-being of citizens universal concern of policymakers. Poverty in our own backyard! Global comparison with other advanced nations.

12 12 Poverty in America BUT before we strive to address the problem of poverty, we must first critically assess

13 What is Poverty? 13

14 How do we measure poverty? 14

15 15 Why Purpose of poverty measure Who Unit of analysis (individual/household) What Resources to be included Where Geographic basis for comparison When Time period involved Poverty Measurement: Questions to Ask Source: Johnson, D.S. (2009). Impressionistic realism: The Europeans focus the U.S. on measurement. Journal of Policy Analysis and Management, 28(4),

16 16 Why Do Poverty Measures Matter? Definition of Poverty Selection of Indicators to Measure Poverty Identification of Individuals & Groups as Poor Development of Poverty Alleviation Strategies

17 Uni-Dimensional vs. Multi-Dimensional Poverty Measures 17 Uni-Dimensional Measure Multi-Dimensional Measure Employment Cash Income POVERTY Cash Income POVERTY Housing Health Education

18 18 Resource-Based Poverty Measures: Absolute Income Poverty Relative Income Poverty Consumption Based Poverty Uni-Dimensional Poverty Measures Spotlight on U.S. Poverty Measure

19 19 Uni-Dimensional Measure: Absolute Income Poverty NOT POOR Poverty Line Examples: POOR Minimum income needed for basic survival or basic needs.

20 Uni-Dimensional Measure: Relative Income Poverty 20 $200 $100 $100 $50 POOR Median Income Poverty Line (% of median national income) Poverty linked to overall standard of living in a country. Example: 50% or 60% of median national income (Europe).

21 21 Income poverty can be transitory. Uni-Dimensional Measure: Consumption Based Poverty Some argue that income measures are biased because of underreporting of income, including government benefits. Focus on what family consumes or spends on goods and services as better indicator of family s available resources (such as savings, access to credit, assets) compared to family annual income. Compare consumption of goods to a poverty threshold. May provide better picture of material hardship than income.

22 22 Measuring Poverty in the U.S. Official Federal Poverty Measure A) USDA Economy food plan: Cheapest nutritionally adequate food plan. B) Estimated amount spent on food: 33% of income. Cost of food plan x 3 = poverty line {adjusted for inflation & household size} If pre-tax cash income < poverty line Individual/Family poor

23 23 Supplemental Poverty Measure Based on recommendations of 1995 National Academy of Sciences (NAS) Panel. Addresses flaws of official measure. Family s net resources after inclusion of benefits (near-cash and tax benefits) and exclusion of expenses (such as medical care & child care). However, focus still remains on economic deprivation.

24 Multi-Dimensional Poverty: Poverty Measures from Around the World 24 Amartya Sen s capability approach to poverty. Applications of the capability approach.

25 25 Multi-Dimensional Poverty Measures Amartya Sen s Capability Approach Although monetary resources (income) important, individual s capability to function successfully in society far more critical. Basic capabilities = What individuals can achieve ( do or be ) based on actual opportunities available to them. Poverty = failure to achieve basic capabilities.

26 26 Multi-Dimensional Poverty Measures Amartya Sen s Capability Deprivation: An Illustration Commodity (Bicycle) Characteristics (Transportation) Capability to Function (Ability to Move) Utility (Riding around)

27 Multi-Dimensional Poverty: Applications of the Capability Approach 27 MACRO LEVEL (country level) UN Human Development Index UN Human Poverty Index MICRO LEVEL (household or individual level) Bhutan s Gross National Happiness Index Multi-Dimensional Poverty Index

28 28 Macro Level Capability Deprivation Measure: UN Human Development Index (HDI) The process of development human development - should at least create an environment for people, individually and collectively, to develop to their full potential and to have a reasonable chance of leading productive and creative lives that they value. It is about providing people with opportunities, not insisting that they make use of them. Source:

29 29 Human Development Reports published annually since countries ranked in terms of three main dimensions: Education Health Standard of Living Macro Level Capability Deprivation Measure: UN Human Development Index (HDI)

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31 31 Macro Level Capability Deprivation Measure: UN Human Poverty Index (HPI) Published in UN Human Development Report from 1997 to HPI measure of capability deprivation covering 95 countries. HPI used country averages to reflect aggregate deprivations in health, education, and standards of living. Sources:

32 Health Education Standard of Living

33 33 Micro Level Capability Deprivation Measure: Multi-Dimensional Poverty Education Multi-Dimensionally Poor Health Living Standard

34 Micro Level Capability Deprivation Measure: Bhutan s Gross National Happiness Index (GNH) Bhutan s Gross National Happiness Index (GNH) MICRO LEVEL 34

35 35 Replaced HPI in Micro Level Capability Deprivation Measure: UN Global Multi-Dimensional Poverty Index (MPI) Developed by economists Sabina Alkire and James Foster (Oxford Poverty & Human Development Initiative, University of Oxford). International measure of acute poverty applied to over 100 developing countries.

36 UN Global Multi-Dimensional Poverty Index (MPI) 36

37 37 Micro Level Capability Deprivation Measure: UN Global Multi-Dimensional Poverty Index (MPI) Source:

38 38 Multi-Dimensional Poverty in America: An Application Paucity of multi-dimensional poverty research in the U.S. This research explores how a multi-dimensional measure can provide a more lucid picture of poverty and disadvantage in America today. Although the MPI was developed primarily for developing countries, there is discussion on how this measure can be adapted for developed nations. This research contributes to the field by exploring how the MPI can be applied in the U.S. context.

39 Multi-Dimensional Poverty in America: Main Objective of My Research 39 Examine profiles of poverty in America using an author-created Multi-Dimensional Poverty Index (MPI) through the lens of race. MPI complements income poverty by measuring the number of deprivations a poor person faces simultaneously with regard to: Education Health Living Standard 3 dimensions that Sen suggests as intrinsically valuable capabilities.

40 My Multi-Dimensional Poverty Index 40 Education Does not have at least high school degree Health Does not have access to private or public health insurance Living Standard Identified income poor using NAS-based poverty measure

41 41 National-level analysis. Merged individual-level data from U.S. Census Bureau (Public Use Research Files) & Minnesota Population Center census micro data (Integrated Public Use Microdata Series Current Population Survey [IPUMS-CPS]). Adults aged 18 years or older time period. - Analytic sample = 295,856 individuals Multi-Dimensional Poverty in America: Data & Sampling Frame

42 42 Multi-Dimensional Poverty in America: Findings from My Research Figure 1. Multi-Dimensional Poverty Rate by Race in Percent White Black Hispanic Asian

43 43 Multi-Dimensional Poverty in America: Findings from My Research Figure 2. Percent Deprived in Each Dimension Among Multi- Dimensionally Poor by Race in White Black Percent Hispanic Asian 5 0 Income Poor Lack of Education Lack of Health Insurance

44 44 Multi-Dimensional Poverty in America: Findings from My Research Figure 3. Percent Deprived in Two Dimensions Among Multi- Dimensionally Poor by Race in Percent White Black Hispanic Asian 10 0 Income Poor & Lack of Education Income Poor & Lack of Health Insurance Lack of Education & Health Insurance

45 45 Multi-Dimensional Poverty in America: Findings from My Research Figure 4. Poverty Rates by Poverty Measure & Race in Percent White Black Hispanic Asian 5 0 Official Measure NAS Measure MPI

46 46 Summary of Findings Multi-Dimensional Poverty in America: Findings from My Research Whites lowest percent poor under all three measures. Multi-dimensional poverty rate highest for Hispanics. Lack of education and access to health insurance more important drivers to multi-dimensional poverty among Hispanics compared to other racial groups, while income poverty and lack of access to health insurance more important for Blacks.

47 47 Policy & Practice Implications Multi-dimensional index can provide high-resolution lens on who poor are how do disadvantages cluster together for certain individuals? Crafting policies that address racial differences in deprivations. Social investment investing in people so they can become selfsufficient. Coordination and Integration of services Integration across systems. Generating political will to look at poverty more holistically lessons from other countries?

48 48 Thank You! Questions?

49 49 Multi-Dimensional Poverty in America: Findings from My Research Racial Distribution in Research Sample (295,856 individuals) 4.6% 14.0% 11.5% 68.0% White Hispanic Black Asian

50 57 Comments from the Discussant Luke Shaefer, PhD, Associate Professor of Social Work and Associate Professor of Public Policy, University of Michigan School of Social Work

51 Join the Conversation! Submit questions through the Question and Answer feature (bottom right of screen). Join the conversation on Twitter using the #SSRCWebinar hashtag. 58