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Original scientific paper

https://doi.org/10.1515/crebss-2017-0001

New multidimensional approaches to poverty measurement in Bosnia and Herzegovina

Adela Delalić orcid id orcid.org/0000-0003-2556-0461 ; School of Economics and Business, University of Sarajevo, Bosnia and Herzegovina
Rabija Somun – Kapetanović ; School of Economics and Business, University of Sarajevo, Bosnia and Herzegovina
Emina Resić orcid id orcid.org/0000-0002-2293-3974 ; School of Economics and Business, University of Sarajevo, Bosnia and Herzegovina


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Abstract

Unlike the standard unidimensional poverty indices, based mostly on monetary poverty measures, multidimensional poverty indices may include numerous non-monetary poverty indicators. This study utilized fuzzy and Alkire – Foster (AF) and fuzzy methodology to assess the poverty level in Bosnia and Herzegovina (B&H) and to compare the results with official poverty assessments. In addition to consumption as a monetary measure, we constructed AF and fuzzy indices by including numerous non-monetary measures that indicate housing quality, possession of durable goods and the household structure. AF multidimensional indices for B&H are calculated based on data from Household Budget Surveys (2004, 2007 and 2011) and fuzzy poverty indices are calculated based on data from HBS 2011. This research has found the differences in the values, direction and dynamics between unidimensional and multidimensional approaches to poverty measurement. Authors state that it is not sufficient to base the creation of more efficient social policies and poverty reduction strategies exclusively on unidimensional indices that address just one dimension of poverty.

Keywords

Alkire – Foster poverty indices, fuzzy poverty indices, multidimensional poverty in B&H

Hrčak ID:

183708

URI

https://hrcak.srce.hr/183708

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