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	Poverty Dominance Analysis	Watts Poverty Index
Dziedzina	Ekonomia	Ekonomia
Rodzina	Process / pipeline	Process / pipeline
Rok powstania	1987	1968
Twórca	Anthony Atkinson (1987); James Foster & Anthony Shorrocks (1988)	Harold W. Watts (1968); axiomatized by Buhong Zheng (1993)
Typ	Robust distributional ordering	Distribution-sensitive poverty measure
Źródło pierwotne	Atkinson, A. B. (1987). On the measurement of poverty. Econometrica, 55(4), 749–764.	Zheng, B. (1993). An axiomatic characterization of the Watts poverty index. Economics Letters, 42(4), 347–353.
Inne nazwy	Stochastic Dominance Analysis, Poverty Orderings, TIP Curve Analysis, First- and Second-Order Poverty Dominance	Watts Index, Watts Poverty Measure, Log Shortfall Poverty Index
Pokrewne	3	3
Podsumowanie	Poverty dominance analysis asks whether one distribution has unambiguously less poverty than another for a whole class of poverty measures and a whole range of poverty lines, rather than for a single index and a single line. Building on Anthony Atkinson's 1987 stochastic-dominance treatment of poverty and the Foster-Shorrocks 1988 poverty-orderings results, it compares cumulative distribution functions (poverty incidence curves) and their successive integrals (poverty deficit and severity curves). When the curve for one distribution lies everywhere below another, that distribution has less poverty for every measure in a corresponding class and every line in the range — a robust conclusion immune to the index-and-line arbitrariness that bedevils single-number comparisons.	The 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.