The dual approach for measuring multidimensional deprivation: Theory and empirical evidence
Rolf Aaberge, Eugenio Peluso and Henrik Sigstad

Photo: Elsevier
Published in:
Journal of Public Economics 2019, Volum 177 (September)
Abstract:
This paper is concerned with the problem of ranking and quantifying the extent of deprivation in multidimensional distributions of dichotomous deprivation variables. To this end, we introduce a family of measures of deprivation justified on the basis of dual social evaluation functions.
Two alternative criteria of second-degree deprivation count distribution dominance are shown to divide the proposed family of deprivation measures into two separate subfamilies, which can be justified by a combination of correlation increasing and count neutral rearrangements.
Based on EU-SILC data, we show that application of the proposed measures might lead to conclusions that differ from those attained by standard cut-off measures, and that results based on cut-off measures are more sensitive to the choice of specific measure.