Exercise 8.47
What is the elasticity of poverty with respect to EXPEQ? Compute this for the different DEPT.

Answer
STEP 1: Initialising  the sampling weight: EDIT|Set Sample Design

 

  • After choosing the appropriate variable(s), click on  the button OK.

 

STEP 2: Use the DAD Application: POVERTY|FGT-Elasticity

  • After choosing the appropriate variable(s) and parameters, click on the COMPUTE button.

RESULTS
 

FGT-Elasticity : Growth (mu_y)

Session Date Thu Sep 02 11:40:14 EDT 2004
Execution Time 0.047 sec
FileName ESPMEN.daf
OBS 2000
Sampling Weight WEIGHT
Variable of interest EXPEQ
Size variable SIZE
Group variable No Selection
Group Number 1
Option Standard Deviation=Yes
Parameter Poverty line=60000
  alpha=1.0
Estimate -0.23813331
  (0.00583075)

FGT-Elasticity : Growth (mu_y)

Session Date Thu Sep 02 11:41:44 EDT 2004
Execution Time 0.047 sec
FileName ESPMEN.daf
OBS 2000
Sampling Weight WEIGHT
Variable of interest EXPEQ
Size variable SIZE
Group variable DEPT
Group Number 1
Option Standard Deviation=Yes
Parameter Poverty line=60000
  alpha=1.0
Estimate -0.25838010
  (0.00969364)

FGT-Elasticity : Growth (mu_y)

Session Date Thu Sep 02 11:42:09 EDT 2004
Execution Time 0.032 sec
FileName ESPMEN.daf
OBS 2000
Sampling Weight WEIGHT
Variable of interest EXPEQ
Size variable SIZE
Group variable DEPT
Group Number 2
Option Standard Deviation=Yes
Parameter Poverty line=60000
  alpha=1.0
Estimate -0.23564793
  (0.00878409)

FGT-Elasticity : Growth (mu_y)

Session Date Thu Sep 02 11:43:01 EDT 2004
Execution Time 0.031 sec
FileName ESPMEN.daf
OBS 2000
Sampling Weight WEIGHT
Variable of interest EXPEQ
Size variable SIZE
Group variable DEPT
Group Number 3
Option Standard Deviation=Yes
Parameter Poverty line=60000
  alpha=1.0
Estimate -0.20973133
  (0.00940251)