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Do Changes in the Labour Market Take Families Out of Poverty? Determinants of Exiting Poverty in Brazilian Metropolitan Regions

Using survival models, we test whether short-term changes in the labour market affect poverty duration. Data are from the Brazilian Monthly Employment Survey. Such a monthly dataset permits more accurate estimations of events than using annual data, but its panel follows households for a short perio...

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Bibliographic Details
Published in:The Journal of development studies 2010-10, Vol.46 (9), p.1503-1522
Main Authors: Machado, Ana Flavia, Ribas, Rafael Perez
Format: Article
Language:English
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Summary:Using survival models, we test whether short-term changes in the labour market affect poverty duration. Data are from the Brazilian Monthly Employment Survey. Such a monthly dataset permits more accurate estimations of events than using annual data, but its panel follows households for a short period. Then methods that control for both right- and left-censoring should be used. The results are as follows: households with zero income are not those with the lowest chances of exiting; changes in aggregate unemployment do not affect poverty duration; and increasing wages in the informal sector has a negative effect on poverty duration.
ISSN:0022-0388
1743-9140
DOI:10.1080/00220380903318079