The dynamics of social deprivation in Mexico

Authors

  • José Carlos Ramírez El Colegio de la Frontera Norte
  • Vivian Kadelbach Anahuac-Mexico-Norte University
  • Leovardo Mata Anahuac-Mexico-Norte University

DOI:

https://doi.org/10.47872/laer-2021-30-2

Keywords:

Hidden and direct Markov models, Mexico's social deprivation, poverty profile, latent states, ergodic vectors

Abstract

This paper aims to model the dynamics of social deprivation in Mexico using a Markovian approach. First, we establish a scenario where a list of items characterizing social deprivation evolves as a first-order Markov chain under the sample period (2002-2012). Then, we estimate latent states and ergodic vectors of a hidden-Markov model to verify the strength of the conclusions drawn from such a scenario. After collecting results from both kinds of analyses, we find a similar pattern of impoverishment. The paper's conclusions state that the evolution of Mexico's deprivation profile may slightly worsen soon.

References

Alkire, S., Kanagaratnam, U., and Suppa, N. (2020). The global Multidimensional Poverty Index (MPI): 2020 revision', OPHI MPI Methodological Note 49, Oxford Poverty and Human Development Initiative, University of Oxford. https://ophi.org.uk/multidimensional-poverty-index/

Arranz J, Cantó O (2012). Measuring the effect of spell recurrence on poverty dynamics. Journal of Economic Inequality 10(2):191-217.

Ayllón S (2013). Understanding poverty persistence in Spain. SERIEs 4: 201-233.

Bracamontes N, Camberos M (2015). La incidencia de pobreza e impacto del programa Oportunidades en el país y el Estado de México. Economía Informa, 393: 21-33.

Campos R, Monroy G (2016). ¿El crecimiento económico reduce la pobreza en México? Revista de Economía Mexicana, 1:140-185.

Cárdenas R, Luna L (2006). Estimación del Tiempo de Salida de la Pobreza: Una Aplica-ción a los Diez Municipios más Marginados de México. Estudios Económicos, 21 (1):45-54.

Cazzuffi C, Pereira M, Soloaga I (2017). Local poverty reduction in Chile and Mexico: The role of food manufacturing growth. Food Policy 68:160-185

Cermeño R, Mayer D, Martínez A (2009). Convergencia, divergencia y estratificación. Estudio comparativo de la dinámica de crecimiento de la manufactura en los municipios mexicanos y los condados estadounidenses. El Trimestre Económico, 76(302):349-378.

Chiquiar D (2005). Why Mexico's regional income convergence broke down. Journal of Development Economics. 77(1):257-275.

Chiquiar D, Ramos M. (2009). Competitiveness and Growth of the Mexican Economy. Banco de Mexico, Working Papers 11, Mexico City.

CONEVAL (2016). Medición de la pobreza 2008-2016. http://www.coneval.org.mx/Medicion/Paginas/AE_pobreza_2008-2016.aspx.

Corona, S. (2021). Las privaciones sociales en Mexico como causa del deterioro del bienestar de los hogares. Tesis de Doctorado, IPN

Dotto F, Farcomeni A, Grazi M, Zelli R (2018). A dynamic inhomogeneous latent state model for measuring material deprivation. Journal of the Royal Statistical Society. Series A:1-22.

Feldman R, Valdez C (1996). Applied Probability and Stochastic Processes, Publishing Company, Boston, MA.

Fingleton B (1997). Specification and Testing of Markov Chain Models: an Application to Convergence in the European Union. Oxford Bulletin of Economics and Statistics, 59(3):385-403.

Greene W, Hensher D (2013). Revealing Additional Dimensions of Preference Heterogeneity in a Latent Class Mixed Multinomial Logit Model. Applied Economics, 45(14):1897-1902.

Hernández-Trillo F (2016). Poverty alleviation in federal systems: The case of Mexico. World Development, 87: 204-214.

INEGI (several years). PIB y Cuentas Nacionales. https://www.inegi.org.mx/temas/pib/

Iniguez, M (2014). Growth with equity for the development of Mexico: Poverty, Inequlity, and Economic Growth (1992-2008). World Development, 59:313-326.

Lee TC, Judge GG, Zellner A (1970). Estimating the Parameters of the Markov Probability Model from Aggregate Time Series Data, North-Holland Publishing Company, Amsterdam, London.

Lobato M (2015). Tiempo de salida de la pobreza en áreas urbanas y rurales de México. Frontera Norte, 27(54):99-122.

Mac Donald I, Zucchini W (1997). Hidden Markov and Other Models for Discrete valued Time Series, 1st ed. Chapman & Hall, Boca Raton, FL.

Masino S, Niño-Zarazúa M (2020). Improving financial inclusion through the delivery of cash transfer programmes: The case of Mexico's Progresa-Oportunidades Prospera Programme. The Journal of Development Studies, 56(1): 151-168.

Najera H (2017). Multiple deprivation, severity, and latent sub-groups: advantages of factor mixture modelling for analysing material deprivation. Social Indicators Research,131:681-700.

Oxford Poverty and Human Development Initiative (OPHI) (2015). Multidimensional Poverty Index 2015. OPHI Briefing 29, University of Oxford.

Pelzer B (2001). Estimating transition probabilities from a time series of independent cross sections. Statistica Neerlandica, 55(2): 249-262.

Pereira M, Soloaga I (2015). Trampas de pobreza y desigualdad en México: 1990-2010, in Bebbington A, Escobar J, Soloaga I, Tomaselli S, Trampas Territoriales de Pobreza, Desigualdad y Baja Movilidad Social: Los Casos de México, Chile y Perú. Centro de Estudios Espinoza Iglesias y Universidad Iberoamericana. México, 167-230.

Ravallion M (2007). Economic growth and poverty reduction: Do poor countries need to worry about inequality? 2020 focus brief on the world's poor and hungry people. Washington, DC: IFPRI

Rubalcava L, Teruel G (2013). Mexican Family Life Survey. Third Wave. Working Paper. www.ennvih-mxfls.org

Scott J (2004). La descentralización, el gasto social y la pobreza en México. Gestión y Política Pública, 13 (3): 785-831.

Székely, M, Ortega D (2014). Pobreza Alimentaria y Desarrollo en México. El Trimestre Económico, 81(321):43-105.

UIA, CIDE, Duke University (2016). Encuesta Nacional sobre Niveles de Vida de los Hogares (ENNVIH). http://www.ennvih-mxfls.org/english/index.html

Watson D, Maître B, Whelan C, Russell H (2017). Poverty, economic stress, and quality of life: lessons from the Irish case. International Review of Economics, 64:125-143.

Weisberg H (1986). Central tendency and variability. Newbury Park. Sage.

Whelan C, Maître B (2006). Comparing poverty and deprivation dynamics: issues of reliability and validity. Journal of Economic Inequality, 4(3):303-323.

Whelan C, Maître B (2007). Measuring material deprivation with EU SILC: Lessons from the Irish survey. European Societies, 9 (2):147-173.

Sen A (1981). Poverty and famines: Essay on entitlement and deprivation. Oxford Clarendon.

Downloads

Published

2021-06-04

Issue

Section

Regular articles

How to Cite

The dynamics of social deprivation in Mexico. (2021). Latin American Economic Review, 30, 1-20. https://doi.org/10.47872/laer-2021-30-2

Similar Articles

1-10 of 24

You may also start an advanced similarity search for this article.