How do you measure national income? and why do countries need to measure it?

Magic Bullet Poverty Measure?

  • [Social Research Magic Bullet Filter] I need a portable "toolkit" consisting of social variables that allow for measure and analysis of poverty in a given area. It must be portable to allow for comparable analyses between place A & place B. Confused by my request? Then please read the Here's the deal: I'm working for someone who will be travelling to place A. While there, he wants to measure local poverty through relevant statistics. But of course, it's not that simple. Place A was devastated by a natural disaster not too long ago. Many of the locals from A moved to places B and C. My boss wants to not only use locally gathered data to measure poverty in A, but he also wants to go to B & C, and measure poverty there as well. All locations are in the developed world, so there's a basic framework of data clearinghouses that we can rely on. What do we mean by "poverty?" Well, we're already looking at standard variables, such as population size and income breakdown, adult population by education and income, head of households by owners v. renters, years in residence and age of residence. We've found find pre-disaster public health data and broader educational indicators as well, but he's actually looking for the "magic bullet" that will indicate how life has gotten worse for folks who have returned to A, and for folks who are displaced in B & C. As a rather narrow-minded drone, I'm having trouble coming up with this "magic bullet." I'm more comfortable with the standard measures. Can you help me, hive mind? Or are we stuck with ANOVA?

  • Answer:

    ah, upon review: i think your majic bullet is going to be the subjective survey that i referred to at the end of my comment. because of the complex variables that carmen refers to, you really can't get one thing that's going to be a good quantative indicator--so it might be better to go with qualatitive. an example of this questionnaire would have open ended questions like "are you better off now then 1 year ago" or something like that, and then have them coded and scored.

deejay jaydee at Ask.Metafilter.Com Visit the source

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>how life has gotten worse for folks who have returned to A, and for folks who are displaced in B & C. So you already have your conclusion then, and are looking for ways to quantify it?

mrbugsentry

Thanks mrbugsentry: there's a simple answer to your question, as well as a complex answer. The simple answer is "yes." The complex answer is, well, a bit more complex. Reputable, albeit by definition, anecdotal, reportage unambiguously presents living conditions for those who fled place A as being "worse for folks who have returned to A, and for folks displaced in B & C." Of course, this reportage is largely focused to those who were already poor to begin with (and as such, self-selecting data, as well as pre-concluded). What my guy wants to do is quantify what has been qualitatively (for the most part) reported and analyzed. (Isn't that the central problem for contemporary social science?) So, while we have a conclusion, and want to quantify it, we're not necessarily married to the particular dress the conclusion is wearing, if you get my drift. We're open (don't we have to be?) to results that might show improvement in the lives of folks who've been displaced from A, but still, we (I mean, "he") still wants "that one indicator which really demonstrates the poverty that" folks who've been displaced from A live in. I hope this makes sense. I realize it's probably more answer than you wanted, but I need all the help I can get with this one. Either there is such a "magic bullet indicator," and it's my job to find it, or there is no such indicator, and I have to explain why.

deejay jaydee

deejay, can it be a set of indicators or does it have to be a single one? From your first question it sounds like you wanted a set that would measure the changes (qualitatively established as "worse") in living conditions in three places in the first world after a disaster, including the site of the disaster. From your clarification, it sounds like you want one indicator that will demonstrate the quality of "worse" in the same way for each of the three places. This seems problematic to me because the quality of "worse" may be different in the three places. For instance, it would be worth looking at access to utilities in place A, but that might not be relevant in places B and C. Things can get "worse" in different ways.

carmen

Carmen: That's a great question, and it may get to the difficulty here. I want a set, precisely for the reasons you state. My guy, however, keeps asking for a single indicator. I'm prepared to tell him that there is no single indicator, but I wanted to make sure, first. More to the point, (and maybe this should have been my question) are some indicators more statistically reliable than others? (uh-oh . . .)

deejay jaydee

i'm a bit confused: it appears that your boss wants data on a geographical place for a, but individuals for b and c. you can't use geographically based data for b and c, because it will also include data about the residents that didn't come ovver form a. i'm also not sure on how population size, (maybe) education and owners vs renters are good indicators of poverty levels. the real figure seems to be per capita income. i guess the best way would be to draw up a form for all residents of a, b and c, measuring per capitia income, education, and any other measurable factors you wish to use. then make sure that the data is collected only on those actually involved in the original a. and as a side note, this still might be deceiving. if, for example, a is new orleans (?) then a major problem with per capita is that a; the population is now lower, and b: i would guess that there has been a significant increase in wages assiciated with rebuilding, both which would artificially increase per capita income. one way to combat this is to design a subjective survey to have respondents indicate how they think they are doing...but i'm guessing that this isn't a feasable idea for you.

lester's sock puppet

oh, and sorry about my really bad spelling, but i'm also wrestling with a dog at the moment.

lester's sock puppet

LSP: Thanks tons. Are there any unusual or often-overlooked data-measures that strike you as relevant to this problem? And you're right about the "per capita" measure. For a lot of reasons, we're not going to go there.

deejay jaydee

I am wholly unconcerned with spelling issues on the green, LSP. No worries. Thanks for the great answer.

deejay jaydee

Hmmm.... well, beyond the statistical reliability of measures (which are absolutely variable) there is the issue of making sure that your indicators actually indicate what you want them to. That is, education levels aren't the same as poverty levels, but in some cases can indicate access to stable, well paid employment, which affect poverty. In these cases education levels taken in the aggregate can indicate something about a population's vulnerability to low wages and poor working conditions. Okay, so you probably know all that, but I just want to lay it out in detail. So, the problem that I see here is the natural disaster. Especially if you are talking about something as large as what happened in New Orleans, the problem that I see you facing is that you don't know what your indicators indicate anymore. What does it mean to be a high school drop out in post-Katrina New Orleans? The way that employment works may have changed. Likewise health indicators may not be spread out among different economic groups in the same way anymore, etc. etc. So this brings me to my next questions: is this an academic or consulting activity? What is the timeline? What is the budget?

carmen

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