Publication:
CPI Bias and Its Implications for Poverty Reduction in Africa

dc.contributor.authorNguyen, Nga Thi Viet
dc.contributor.authorDabalen, Andrew
dc.contributor.authorGaddis, Isis
dc.date.accessioned2017-01-04T21:45:10Z
dc.date.available2017-01-04T21:45:10Z
dc.date.issued2016-12
dc.description.abstractInternational poverty estimates for countries in Africa commonly rely on national consumer price indexes to adjust trends in nominal consumption over time for changes in the cost of living. However, the consumer price index is subject to various types of measurement bias. This paper uses Engel curve estimations to assess bias in the consumer price index and its implications for estimated poverty trends. The results suggest that in 11 of 16 Sub-Saharan African countries in this study, poverty reduction may be understated because of consumer price index bias. With correction of consumer price index bias, poverty in these countries could fall between 0.8 and 5.7 percentage points per year faster than currently thought. For two countries, however, the paper finds the opposite trend. There is no statistically significant change in poverty patterns after adjusting for consumer price index bias for the other three countries.en
dc.identifierhttp://documents.worldbank.org/curated/en/284781481032358665/CPI-bias-and-its-implications-for-poverty-reduction-in-Africa
dc.identifier.doi10.1596/1813-9450-7907
dc.identifier.urihttps://hdl.handle.net/10986/25806
dc.languageEnglish
dc.language.isoen_US
dc.publisherWorld Bank, Washington, DC
dc.relation.ispartofseriesPolicy Research Working Paper;No. 7907
dc.rightsCC BY 3.0 IGO
dc.rights.holderWorld Bank
dc.rights.urihttp://creativecommons.org/licenses/by/3.0/igo
dc.subjectinflation
dc.subjectpoverty reduction
dc.subjectEngel curve
dc.subjectCPI bias
dc.subjecteconomic model
dc.subjectprice indices
dc.subjectcost of living
dc.subjectnominal consumption
dc.titleCPI Bias and Its Implications for Poverty Reduction in Africaen
dc.typeWorking Paperen
dc.typeDocument de travailfr
dc.typeDocumento de trabajoes
dspace.entity.typePublication
okr.crossref.titleCPI Bias and Its Implications for Poverty Reduction in Africa
okr.date.disclosure2016-12-06
okr.doctypePublications & Research
okr.doctypePublications & Research::Policy Research Working Paper
okr.docurlhttp://documents.worldbank.org/curated/en/284781481032358665/CPI-bias-and-its-implications-for-poverty-reduction-in-Africa
okr.guid284781481032358665
okr.identifier.doi10.1596/1813-9450-7907
okr.identifier.externaldocumentum090224b084782274_1_0
okr.identifier.internaldocumentum26999450
okr.identifier.reportWPS7907
okr.importedtrue
okr.language.supporteden
okr.pdfurlhttp://documents.worldbank.org/curated/en/284781481032358665/pdf/WPS7907.pdfen
okr.region.administrativeAfrica
okr.region.geographicalSub-Saharan Africa
okr.statistics.combined1778
okr.statistics.dr284781481032358665
okr.statistics.drstats1003
okr.topicMacroeconomics and Economic Growth::Inflation
okr.topicPoverty Reduction::Living Standards
okr.topicPoverty Reduction::Poverty Lines
okr.unitPoverty and Equity Global Practice Group
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