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Poverty Dynamics in T urkey
Author(s) -
Şeker Sırma Demir,
Dayıoğlu Meltem
Publication year - 2015
Publication title -
review of income and wealth
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 1.024
H-Index - 57
eISSN - 1475-4991
pISSN - 0034-6586
DOI - 10.1111/roiw.12112
Subject(s) - poverty , economics , quarter (canadian coin) , panel study of income dynamics , panel data , poverty rate , demographic economics , dynamics (music) , development economics , labour economics , econometrics , economic growth , geography , sociology , pedagogy , archaeology
This paper examines poverty dynamics in T urkey using a nationally representative panel data covering the 2005–08 period. The aim is to understand mobility in and out of poverty and its correlates. We find that almost a quarter of the poor are persistently poor. The conditional and unconditional exit rates that we estimate are within the range of values reported for developed countries in the literature. That the income events—but not transfers—dominate both poverty entries and exits is indicative of the major role labor markets play in the lives of the poor. In particular, we argue that given the characteristics of the poor and modest levels of social assistance, the reason for mobility rates close to E uropean averages must be sought in the informal economy.