Households newly nonpoor
Logarithm of total household expenditure
NONPOOR
θ1
Households newly poor
new lower economies of scale
θ0
POOR
original high economies of scale
A+αK
0
0
Logarithm of effective household size A+αK
Figure 1.1: The effect of economies of scale on poverty rates
elderly
.8
alpha = 1, theta = .5
elderly
alpha = .75, theta = .5
alpha = .5, theta = .5
.6
.4
children
.2
children
nonelderly adults
nonelderly adults
Fraction of group in poverty
nonelderly adults
0
children
elderly
.8
alpha = 1, theta = .75
alpha = .75, theta = .75
alpha = .5, theta = .75
.6
children
.4
elderly
.2
nonelderly adults
nonelderly adults
nonelderly adults
0
children
children
.8
alpha = 1, theta = 1
alpha = .75, theta = 1
alpha = .5, theta = 1
.6
.4
elderly
elderly
.2
nonelderly adults
nonelderly adults
nonelderly adults
0
0
50
100
150
200
250
0
50
100
150
200
250
0
50
100
150
200
250
Poverty line in PEX, per equivalent expenditure
Figure 2.1: South Africa, poverty headcount ratios at various poverty lines and for various childcosts and economies of scale
Headcount ratio elderly less headcount ratio children
alpha=theta=0.5
.05
alpha=theta=0.75
0
alpha=theta=1
-.05
-.1
0
50
100
150
200
250
Poverty line in PEX, per equivalent expenditure
Headcount ratio elderly less headcount ratio children
Figure 2.2: South Africa: poverty rates of the elderly and children
alpha=1, theta=0.5
.02
alpha=0.5, theta=1
0
-.02
alpha=0.75, theta=0.75
-.04
0
50
100
150
200
250
Poverty line in PEX, per equivalent expenditure
Figure 2.3: South Africa: poverty rates of the elderly and of children
1
alpha = 1, theta = .5
.8
alpha = .75, theta = .5
alpha = .5, theta = .5
elderly
elderly
elderly
.6
.4
nonelderly adults
Fraction of group in poverty
.2
nonelderly adults
nonelderly adults
0
1
alpha = 1, theta = .75
.8
alpha = .75, theta = .75
elderly
alpha = .5, theta = .75
elderly
.6
.4
nonelderly adults
.2
nonelderly adults
nonelderly adults
0
children
children
elderly
1
alpha = 1, theta = 1
alpha = .75, theta = 1
alpha = .5, theta = 1
.8
.6
elderly
elderly
.4
.2
children
nonelderly adults
nonelderly adults
nonelderly adults
0
0
20
40
60
80
100
120
0
20
40
60
80
100
120
0
20
Poverty line in PEX, per equivalent expenditure
(thousands of cedis per month)
Figure 3.1: Ghana, poverty rates of children, the eldely, and non-elderly adults
40
60
80
100
120
children
.6
alpha = 1, theta = .5
alpha = .75, theta = .5
alpha = .5, theta = .5
elderly
.4
.2
nonelderly adults
nonelderly adults
Fraction of group in poverty
nonelderly adults
0
children
children
.6
alpha = 1, theta = .75
alpha = .75, theta = .75
alpha = .5, theta = .75
.4
.2
nonelderly adults
0
children
.8
children
alpha = 1, theta = 1
alpha = .75, theta = 1
.6
alpha = .5, theta = 1
children
elderly
.4
.2
elderly
0
100
200
300
400
500
100
200
300
400
500
100
Poverty line in PEX, per equivalent expenditure
Figure 3.2: Pakistan, poverty rates for children, the elderly, and non-elderly adults
200
300
400
500
.8
alpha = .5, theta = .5
alpha = .75, theta = .5
alpha = 1, theta = .5
.6
elderly
elderly
elderly
.4
Fraction of group in poverty
children
children
.2
0
.8
alpha = .75, theta = .75
alpha = 1, theta = .75
alpha = .5, theta = .75
.6
elderly
elderly
.4
children
.2
nonelderly adults
0
children
.8
alpha = 1, theta = 1
alpha = .75, theta = 1
alpha = .5, theta = 1
.6
elderly
elderly
.4
elderly
.2
children
0
20
40
60
80
20
40
60
80
20
Poverty line in PEX, per equivalent expenditure
(thousands of Taiwanese dollars per year)
Figure 3.3: Taiwan: poverty rates for children, the elderly, and non-elderly adults
40
60
80
elderly
elderly
.8
alpha = .75, theta = .5
alpha = 1, theta = .5
.6
alpha = .5, theta = .5
.4
children
children
.2
Fraction of group in poverty
nonelderly adults
0
.8
elderly
children
alpha = .75, theta = .75
alpha = 1, theta = .75
.6
alpha = .5, theta = .75
children
.4
elderly
.2
nonelderly adults
0
elderly
children
.8
alpha = .5, theta = 1
alpha = .75, theta = 1
alpha = 1, theta = 1
.6
children
.4
children
elderly
elderly
.2
0
0
500
1000
1500
0
500
1000
1500
0
Poverty line in PEX, per equivalent expenditure
(baht per month)
Figure 3.4: Thailand: poverty rates for children, the elderly, and non-elderly adults
500
1000
1500
.8
alpha = 1, theta = .5
.6
alpha = .75, theta = .5
alpha = .5, theta = .5
elderly
elderly
elderly
.4
Fraction of group in poverty
.2
0
.8
alpha = 1, theta = .75
.6
alpha = .75, theta = .75
alpha = .5, theta = .75
elderly
elderly
elderly
.4
.2
nonelderly adults
0
.8
alpha = 1, theta = 1
.6
alpha = .5, theta = 1
alpha = .75, theta = 1
elderly
elderly
elderly
.4
children
.2
children
adults
0
0
2000
4000
6000
0
2000
4000
6000
0
Poverty line in PEX, per equivalent expenditure
Figure 3.5: Ukraine, poverty rates for children, the elderly, and non-elderly adults
2000
4000
6000