Microeconomic determinants of dynamic poverty in Peru 2015-2018

Abstract

The objective is to identify the microeconomic factors that determine dynamic poverty, using 4-period panel data, the study mainly focuses on the dynamics of per capita expenditure in relation to the total poverty line, that is, how many households are in situation of temporary or permanent poverty as a result of changes in the income of households or individuals and therefore in expenses, the source of information is the database of the National Household Survey (2015-2018), the determinants of Monetary poverty is approached from a personal and housing asset approach. The estimation method is the logit model with fixed effects. Among the main results, it was possible to confirm that the condition of poverty is dynamic and it has been found that the main determinants of the condition of poverty are: the size of the household, the number of income earners within the household, the average years of education of the other members of the household, number of jobs of the head of household, the possession of the internet service and the title of property of the house. The results confirm that the condition of poverty depends on the possession of personal assets and housing.