Nº 64 (February, 2008). Luis Casanova.
“Trampas de pobreza en Argentina: evidencia empírica a partir de un pseudo panel”.
The aim of this paper is to analyze the existence of poverty traps in Argentina. In order to do it so, the income dynamic was estimated by using a pseudo panel built from the Encuesta Permanente de Hogares. This methodology allows to overcome econometric challenges involved in testing for the presence of poverty traps: lack of long duration panels, attrition, and measurement error in income. The results do find no evidence for the existence of poverty traps due to nonlinearities in income dynamics.
Código JEL: C23, C81, I32