Abstract:
Considering the importance of poverty in economic development issues, it is tried to estimate poverty intensity and examine its trend via using an applied index called SST. This index belongs to the family of decomposable indices and shows the poverty intensity in terms of the product of its components: poverty rate, average poverty gap ratio of the poor and Gini index of poverty gap ratio of the population. This decomposition makes possible for the researcher to follow the source of changes in poverty intensity via changes in its components. The results reveal that the SST index has increased during both in urban and rural areas of the province. Also, the increase in the urban areas, is much more than the increase in rural areas
Machine summary:
"This index belongs to the family of decomposable indices and shows the poverty intensity in terms of the product of its components: poverty rate, average poverty gap ratio of the poor and Gini index of poverty gap ratio of the population.
Here is defined as: (9) or (10) that ’s are sorted ascending like Consequently, the equation (5) can be developed as: (11) Thus, the poverty intensity contains the poverty rate, the average poverty gap ratio of the poor, and the measure of the inequality of the poverty gap ratios of the population.
Using data from Statistics Center of Iran and based on minimum necessary calories for a person (2300), they first estimated poverty line for urban and rural areas , then, measured SST index and estimated its three components, i.
Osberg and Xu (1999) used half the median of an income as relative poverty line and estimated the Sen-Shorrocks-Thon measure of poverty intensity in Canadian provinces for 1984, 1989 and 1991-1996.
However, based on Gini index plus one across the rural areas of Chinese provinces the variation was relatively large compared with similar data observed in developed countries, while was small if poverty rate or poverty gap is based for comparison.
A review on the components of rural SST index reveals that both poverty rate and poverty gap ratio of the poor have increased from 30."