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Watts Poverty Index×Foster-Greer-Thorbecke Index×
VakgebiedEconomieEconomie
FamilieProcess / pipelineProcess / pipeline
Jaar van ontstaan19681984
GrondleggerHarold W. Watts (1968); axiomatized by Buhong Zheng (1993)James Foster, Joel Greer & Erik Thorbecke
TypeDistribution-sensitive poverty measureParametric class of poverty measures
Oorspronkelijke bronZheng, B. (1993). An axiomatic characterization of the Watts poverty index. Economics Letters, 42(4), 347–353. DOI ↗Foster, J., Greer, J., & Thorbecke, E. (1984). A class of decomposable poverty measures. Econometrica, 52(3), 761–766. DOI ↗
AliassenWatts Index, Watts Poverty Measure, Log Shortfall Poverty IndexFGT Index, FGT Poverty Measures, P-alpha Poverty Index, Foster-Greer-Thorbecke Poverty Measure
Verwant34
SamenvattingThe Watts index, proposed by Harold Watts in 1968, was the first poverty measure to be sensitive to the distribution of income among the poor, anticipating the axiomatic poverty-measurement literature by nearly a decade. It averages, over the whole population, the natural logarithm of the ratio of the poverty line to each poor person's income. Because the log gives ever-larger weight to incomes near zero, the Watts index satisfies the strong transfer principles that the headcount and the linear poverty gap fail, and Buhong Zheng's 1993 axiomatic characterization established it as the smallest distribution-sensitive measure satisfying a natural set of axioms.The Foster-Greer-Thorbecke (FGT) index is a parametric class of poverty measures introduced by James Foster, Joel Greer, and Erik Thorbecke in 1984 that became the workhorse of applied poverty analysis. A single parameter alpha tunes how much weight the measure places on the depth and distribution of poverty: alpha = 0 gives the headcount ratio (the share of people below the poverty line), alpha = 1 gives the poverty gap (the average normalized shortfall), and alpha = 2 gives poverty severity (which weights larger shortfalls more heavily). Its defining virtue is additive decomposability — total poverty is the population-weighted sum of subgroup poverty — which makes it ideal for profiling poverty across regions, sectors, and demographic groups.
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ScholarGateMethoden vergelijken: Watts Poverty Index · Foster-Greer-Thorbecke Index. Geraadpleegd op 2026-06-25 via https://scholargate.app/nl/compare