Rural Household Poverty and Its Determining Factors. A Poverty Analysis Using Alternative Measurement Approaches

Table of Contents

1. Introduction

1.1. Background

1.2. Problem Statement

1.2.1. Research Questions

1.3. Objectives

1.3.1. General Objective

1.3.2. Specific objectives

1.4. Significance of the Study

1.5. Scope of the Study

1.6. Description of the Study Area

1.7. Limitation of the Study

2. Literature Review

2.1. Introduction

2.2. Theoretical Literature Review

2.2.1 Understanding the concept and definition of poverty

2.2.2. Economic theories of poverty

2.2.3. Measuring Poverty

2.2.3.1. Concepts of measuring poverty

2.2.3.2. Indicators and measurements of welfare

2.2.3.3. Poverty Line

2.2.3.4. Equivalence and Economies of Scale

2.3. Empirical Literature Review

3. Research Methods

3.1. Introduction

3.2. Research Type and Approach

3.3. Sample Design

3.3.1. Sampling Techniques

3.4. Data Sources and Methods of Collection

3.5. Measurements of poverty

3.5.1. Setting Poverty Line

3.5.2. Developing Poverty Profiles

3.5.3. Poverty Indices and Decompositions

3.6. Econometric Model Specification

3.6.1. Determinants of Rural Household Poverty

3.7. Description of Variables

3.7.1. Dependant variables

3.7.2. Independent Variables

3.8. Data Analysis and Interpretation

4. Results and Discussions

4.1. Introduction

4.2. Descriptive Analysis on Socio-Demographic Characteristics of the Study

4.3. Economic characteristics of sample households

4.4. Access to Resources and Different services

4.5. Household Consumption Expenditure Analysis

4.6.2. Indices based poverty profile of the study area

4.6.3. Poverty decomposition across sample Kebeles

4.6.4. Poverty decomposition across socio-economic characteristics

4.7. Econometric Results Analysis

4.7.1. Determinants of household consumption expenditure

4.7.2. Determining factors of poverty status

4.7.3. Determinants of poverty depth and severity

4.8. Participatory Poverty Analysis

4.8.1. Perception and definition of poverty

4.8.2. Well-being ranking

4.8.3. Participatory analysis on determinants of poverty

5. Conclusions and Recommendations

5.1. Conclusions

5.2. Recommendations

Research Objectives and Themes

The study aims to examine rural household poverty and its determining factors in Gozamin Woreda, Ethiopia, using alternative measurement approaches. The central research question focuses on identifying the determinants of poverty among rural households and assessing whether poverty status varies across different quantitative and qualitative measurements.

• Objective and subjective poverty analysis approaches.
• Econometric modeling (OLS, Logit, Tobit) to identify poverty determinants.
• Multidimensional poverty assessment involving community participation.
• Decomposition of poverty across agro-ecological zones and socio-economic variables.

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Summary of Chapters

Chapter One: Introduces the background and problem statement regarding rural poverty in Ethiopia, emphasizing the need for context-specific research and the multi-dimensional nature of the issue.

Chapter Two: Provides a comprehensive literature review of economic theories of poverty, measurement methodologies, and empirical studies relevant to rural settings.

Chapter Three: Details the research methodology, including the sampling design, data collection methods, and the specific econometric models (OLS, Logit, Tobit) used for poverty analysis.

Chapter Four: Presents the results and discussions of the empirical analysis, covering descriptive statistics, poverty profiling, and the findings from participatory poverty assessments.

Chapter Five: Outlines the conclusions drawn from the study and provides policy recommendations for poverty reduction based on the research findings.

Keywords

Rural household, Poverty, Foster Greer and Thorbecke (FGT), Cost of Basic Needs (CBN), Participatory poverty Assessment (PPA), Econometric modeling, Consumption expenditure, Ethiopia, Gozamin Woreda, Socio-economic determinants, Well-being ranking, Household welfare, Agricultural extension, Land holding, Agro-ecological zones

Frequently Asked Questions

What is the primary focus of this thesis?

The thesis focuses on examining rural household poverty and its determinants in Gozamin Woreda, Ethiopia, using both objective (survey-based) and subjective (participatory) measurement approaches.

What are the central thematic areas of the research?

Key areas include the conceptual definition of poverty, quantitative analysis of poverty incidence and depth, the socio-economic determinants of household welfare, and community perceptions of poverty.

What is the primary research goal?

The primary goal is to investigate the determinants of poverty in rural households and to analyze whether poverty status varies significantly when applying different measurement tools.

Which scientific methods are employed in this study?

The study utilizes a cross-sectional household survey combined with Participatory Poverty Assessment (PPA) tools like focus group discussions and well-being ranking, alongside econometric regression models (OLS, Logit, and Tobit).

What topics are discussed in the main body?

The main body covers theoretical frameworks, empirical literature reviews, research methodology, data analysis including descriptive statistics and econometric results, and findings from the participatory poverty assessment.

Which keywords best characterize this work?

The research is characterized by terms such as rural poverty, Cost of Basic Needs (CBN), Foster-Greer-Thorbecke (FGT) indices, household consumption expenditure, and participatory assessment.

How does this study contribute to understanding poverty in Gozamin Woreda?

It provides empirical evidence on how factors like family size, education, livestock ownership, and access to services correlate with poverty levels, offering a localized view of the multidimensional nature of poverty.

What distinguishes this research from previous studies on rural poverty?

A key distinguishing feature is the triangulation of standard objective measurement methods (consumption expenditure) with subjective Participatory Poverty Assessment (PPA) to provide a more holistic view of poverty.