Determinants of Household Poverty in the Rural Sector in Sri Lanka: 1990-2010

Seetha Ranathunga; John Gibson

doi:doi:10.11648/j.eco.20140303.11

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Determinants of Household Poverty in the Rural Sector in Sri Lanka: 1990-2010

Seetha Ranathunga, John Gibson

Published in Economics (Volume 3, Issue 3)

Received: 10 August 2014 Accepted: 22 August 2014 Published: 30 August 2014

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Abstract

A satisfactory explanation of why some people are poor is essential to tackle the roots of poverty. Therefore, the causes of poverty and their behavior over time are more important to understand the depth of the problem in a particular sector in a country. This study examines the micro-level factors associated with household poverty and their behavior over the years in the rural sector in Sri Lanka using disaggregated Household Income and Expenditure Surveys (HIES) data in 1990/91 to 2009/10 using Probit regression analyses. The major factors affected for the poverty reduction in the rural sector within last two decades are employment of the head of the household in the public sector, education of the head of the household, the head engaging in the non-agriculture sector, higher female adult ratio, and the receipt of remittances. They are statistically significant variables to the model. Relatively, foreign remittance has played a very important role in poverty reduction in the rural sector. Households with the higher dependency ratio, the large household size, and head engaged in private sector job and the female headed households are more likely to be poor in the rural sector in Sri Lanka. However, almost all the coefficients (both positive and negative factors) show declining trends of their impact on poverty over time while impacts of the head engage in non-agriculture activities and the higher female adult ratio have increased.

Published in	Economics (Volume 3, Issue 3)
DOI	10.11648/j.eco.20140303.11
Page(s)	43-49
Creative Commons	This is an Open Access article, distributed under the terms of the Creative Commons Attribution 4.0 International License (http://creativecommons.org/licenses/by/4.0/), which permits unrestricted use, distribution and reproduction in any medium or format, provided the original work is properly cited.
Copyright	Copyright © The Author(s), 2014. Published by Science Publishing Group

Keywords

Poverty Determinants, Probit Regression Analysis, Rural Sector, Sri Lanka

References

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APA Style

Seetha Ranathunga, John Gibson. (2014). Determinants of Household Poverty in the Rural Sector in Sri Lanka: 1990-2010. Economics, 3(3), 43-49. https://doi.org/10.11648/j.eco.20140303.11

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Seetha Ranathunga; John Gibson. Determinants of Household Poverty in the Rural Sector in Sri Lanka: 1990-2010. Economics. 2014, 3(3), 43-49. doi: 10.11648/j.eco.20140303.11

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AMA Style

Seetha Ranathunga, John Gibson. Determinants of Household Poverty in the Rural Sector in Sri Lanka: 1990-2010. Economics. 2014;3(3):43-49. doi: 10.11648/j.eco.20140303.11

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@article{10.11648/j.eco.20140303.11,
  author = {Seetha Ranathunga and John Gibson},
  title = {Determinants of Household Poverty in the Rural Sector in Sri Lanka: 1990-2010},
  journal = {Economics},
  volume = {3},
  number = {3},
  pages = {43-49},
  doi = {10.11648/j.eco.20140303.11},
  url = {https://doi.org/10.11648/j.eco.20140303.11},
  eprint = {https://article.sciencepublishinggroup.com/pdf/10.11648.j.eco.20140303.11},
  abstract = {A satisfactory explanation of why some people are poor is essential to tackle the roots of poverty. Therefore, the causes of poverty and their behavior over time are more important to understand the depth of the problem in a particular sector in a country. This study examines the micro-level factors associated with household poverty and their behavior over the years in the rural sector in Sri Lanka using disaggregated Household Income and Expenditure Surveys (HIES) data in 1990/91 to 2009/10 using Probit regression analyses. The major factors affected for the poverty reduction in the rural sector within last two decades are employment of the head of the household in the public sector, education of the head of the household, the head engaging in the non-agriculture sector, higher female adult ratio, and the receipt of remittances. They are statistically significant variables to the model. Relatively, foreign remittance has played a very important role in poverty reduction in the rural sector. Households with the higher dependency ratio, the large household size, and head engaged in private sector job and the female headed households are more likely to be poor in the rural sector in Sri Lanka. However, almost all the coefficients (both positive and negative factors) show declining trends of their impact on poverty over time while impacts of the head engage in non-agriculture activities and the higher female adult ratio have increased.},
 year = {2014}
}

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TY  - JOUR
T1  - Determinants of Household Poverty in the Rural Sector in Sri Lanka: 1990-2010
AU  - Seetha Ranathunga
AU  - John Gibson
Y1  - 2014/08/30
PY  - 2014
N1  - https://doi.org/10.11648/j.eco.20140303.11
DO  - 10.11648/j.eco.20140303.11
T2  - Economics
JF  - Economics
JO  - Economics
SP  - 43
EP  - 49
PB  - Science Publishing Group
SN  - 2376-6603
UR  - https://doi.org/10.11648/j.eco.20140303.11
AB  - A satisfactory explanation of why some people are poor is essential to tackle the roots of poverty. Therefore, the causes of poverty and their behavior over time are more important to understand the depth of the problem in a particular sector in a country. This study examines the micro-level factors associated with household poverty and their behavior over the years in the rural sector in Sri Lanka using disaggregated Household Income and Expenditure Surveys (HIES) data in 1990/91 to 2009/10 using Probit regression analyses. The major factors affected for the poverty reduction in the rural sector within last two decades are employment of the head of the household in the public sector, education of the head of the household, the head engaging in the non-agriculture sector, higher female adult ratio, and the receipt of remittances. They are statistically significant variables to the model. Relatively, foreign remittance has played a very important role in poverty reduction in the rural sector. Households with the higher dependency ratio, the large household size, and head engaged in private sector job and the female headed households are more likely to be poor in the rural sector in Sri Lanka. However, almost all the coefficients (both positive and negative factors) show declining trends of their impact on poverty over time while impacts of the head engage in non-agriculture activities and the higher female adult ratio have increased.
VL  - 3
IS  - 3
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Author Information

Seetha Ranathunga

Department of Economics, University of Kelaniya, Dalugama, Sri Lanka and Waikato Management School ,University of Waikato, NZ
John Gibson

Department of Economics, Waikato Management School, Hamilton, University of Waikato, NZ

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APA Style

Seetha Ranathunga, John Gibson. (2014). Determinants of Household Poverty in the Rural Sector in Sri Lanka: 1990-2010. Economics, 3(3), 43-49. https://doi.org/10.11648/j.eco.20140303.11

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ACS Style

Seetha Ranathunga; John Gibson. Determinants of Household Poverty in the Rural Sector in Sri Lanka: 1990-2010. Economics. 2014, 3(3), 43-49. doi: 10.11648/j.eco.20140303.11

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AMA Style

Seetha Ranathunga, John Gibson. Determinants of Household Poverty in the Rural Sector in Sri Lanka: 1990-2010. Economics. 2014;3(3):43-49. doi: 10.11648/j.eco.20140303.11

Copy | Download

@article{10.11648/j.eco.20140303.11,
  author = {Seetha Ranathunga and John Gibson},
  title = {Determinants of Household Poverty in the Rural Sector in Sri Lanka: 1990-2010},
  journal = {Economics},
  volume = {3},
  number = {3},
  pages = {43-49},
  doi = {10.11648/j.eco.20140303.11},
  url = {https://doi.org/10.11648/j.eco.20140303.11},
  eprint = {https://article.sciencepublishinggroup.com/pdf/10.11648.j.eco.20140303.11},
  abstract = {A satisfactory explanation of why some people are poor is essential to tackle the roots of poverty. Therefore, the causes of poverty and their behavior over time are more important to understand the depth of the problem in a particular sector in a country. This study examines the micro-level factors associated with household poverty and their behavior over the years in the rural sector in Sri Lanka using disaggregated Household Income and Expenditure Surveys (HIES) data in 1990/91 to 2009/10 using Probit regression analyses. The major factors affected for the poverty reduction in the rural sector within last two decades are employment of the head of the household in the public sector, education of the head of the household, the head engaging in the non-agriculture sector, higher female adult ratio, and the receipt of remittances. They are statistically significant variables to the model. Relatively, foreign remittance has played a very important role in poverty reduction in the rural sector. Households with the higher dependency ratio, the large household size, and head engaged in private sector job and the female headed households are more likely to be poor in the rural sector in Sri Lanka. However, almost all the coefficients (both positive and negative factors) show declining trends of their impact on poverty over time while impacts of the head engage in non-agriculture activities and the higher female adult ratio have increased.},
 year = {2014}
}

Copy | Download

TY  - JOUR
T1  - Determinants of Household Poverty in the Rural Sector in Sri Lanka: 1990-2010
AU  - Seetha Ranathunga
AU  - John Gibson
Y1  - 2014/08/30
PY  - 2014
N1  - https://doi.org/10.11648/j.eco.20140303.11
DO  - 10.11648/j.eco.20140303.11
T2  - Economics
JF  - Economics
JO  - Economics
SP  - 43
EP  - 49
PB  - Science Publishing Group
SN  - 2376-6603
UR  - https://doi.org/10.11648/j.eco.20140303.11
AB  - A satisfactory explanation of why some people are poor is essential to tackle the roots of poverty. Therefore, the causes of poverty and their behavior over time are more important to understand the depth of the problem in a particular sector in a country. This study examines the micro-level factors associated with household poverty and their behavior over the years in the rural sector in Sri Lanka using disaggregated Household Income and Expenditure Surveys (HIES) data in 1990/91 to 2009/10 using Probit regression analyses. The major factors affected for the poverty reduction in the rural sector within last two decades are employment of the head of the household in the public sector, education of the head of the household, the head engaging in the non-agriculture sector, higher female adult ratio, and the receipt of remittances. They are statistically significant variables to the model. Relatively, foreign remittance has played a very important role in poverty reduction in the rural sector. Households with the higher dependency ratio, the large household size, and head engaged in private sector job and the female headed households are more likely to be poor in the rural sector in Sri Lanka. However, almost all the coefficients (both positive and negative factors) show declining trends of their impact on poverty over time while impacts of the head engage in non-agriculture activities and the higher female adult ratio have increased.
VL  - 3
IS  - 3
ER  -

Copy | Download