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The Multidimensional Poverty Index (MPI) was developed in 2010 by Oxford Poverty & Human Development Initiative and the United Nations Development Programme.^[1]

Contents 1 History 2 Calculation of the index 2.1 Calculation 2.2 Indicators used 2.3 Real example 2.4 Fictional example 3 MPI in some developing countries 4 See also 5 References

HistoryEdit

The MPI was created for the 20th Anniversary edition of the UNDP Human Development Report and uses different factors to determine poverty beyond income-based lists. It uses a range of deprivations that afflict an individual's life. "The measure assesses the nature and intensity of poverty at the individual level in education, health outcomes, and standard of living."^[2]

The MPI is an index of acute multidimensional poverty. It reflects deprivations in very rudimentary services and core human functioning for people across 104 countries. Although deeply constrained by data limitations, MPI reveals a different pattern of poverty than income poverty, as it illuminates a different set of deprivations. The MPI has three dimensions: health, education, and standard of living. These are measured using ten indicators. Poor households are identified and an aggregate measure constructed using the methodology proposed by Alkire and Foster. Each dimension and each indicator within a dimension is equally weighted.

Calculation of the indexEdit

CalculationEdit

The MPI is calculated as follows:^[3]

H: Percentage of people who are MPI poor (incidence of poverty)
A: Average intensity of MPI poverty across the poor (%)

Indicators usedEdit

The following ten indicators are used to calculated the MPI:^[4]

• Education (each indicator is weighted equally at 1/6)

1. Years of Schooling: deprived if no household member has completed five years of schooling
2. Child Enrolment: deprived if any school-aged child is not attending school in years 1 to 8

• Health (each indicator is weighted equally at 1/6)

3. Child mortality: deprived if any child has died in the family
4. Nutrition: deprived if any adult or child for whom there is nutritional information is malnourished

• Standard of Living (each indicator is weighted equally at 1/18)

5. Electricity: deprived if the household has no electricity
6. Sanitation: deprived if they do not have an improved toilet or if their toilet is shared (MDG Definition)
7. Drinking water: deprived if the household does not have access to clean drinking water or clean water is more than 30 minutes walk from home (MDG Definition)
8. Floor: deprived if the household has dirt, sand or dung floor
9. Cooking fuel: deprived if they cook with wood, charcoal or dung
10. Assets: deprived if the household does not own more than one of: radio, TV, telephone, bike, or motorbike

A person is considered poor if they are deprived in at least 30% of the weighted indicators. The intensity of poverty denotes the proportion of indicators in which they are deprived.

Real exampleEdit

Niger:^[5]

• MPI = 0.642
• H = 0.927
• A = 0.693

In Niger, 92.7% of the country's population is MPI poor (they are deprived in at least 30% of the weighted indicators, by definition). Those who are MPI poor suffer from deprivation in 69.3% of indicators, on average.

Fictional exampleEdit

Country X consists of persons A, B and C. The following table shows the deprivation on each of the 10 indicators for persons A, B and C.

"0%" indicates no deprivation in that indicator, while "100%" indicates deprivation in that indicator.

Indicator	Weight	Person A	Person B	Person C
1	1/6	0%	0%	0%
2	1/6	0%	0%	0%
3	1/6	100%	100%	0%
4	1/6	0%	100%	0%
5	1/18	0%	100%	100%
6	1/18	0%	100%	100%
7	1/18	0%	0%	100%
8	1/18	100%	100%	100%
9	1/18	100%	0%	100%
10	1/18	100%	0%	0%
Weighted score		33.33%	50.00%	27.78%
Status		MPI poor	MPI poor	Not MPI poor

Factor H for country X is:

Factor A for country X is:

Thus, the MPI for country X is:

MPI in some developing countriesEdit

Country	MPI	Number of MPI Poor People (millions)	% of People who are MPI Poor	Average Intensity of MPI Poverty	% of People who are Income Poor ($1.25)
Template:Country data Albania	0.004	0.030	0.96	38.10	2.0
Template:Country data Angola	0.452	13.614	77.35	58.43	54.3
Template:Country data Argentina	0.011	1.181	2.99	37.74	4.5
Template:Country data Armenia	0.008	0.070	2.25	36.53	10.6
Template:Country data Azerbaijan	0.021	0.461	5.37	38.61	2.0
Template:Country data Bangladesh	0.291	91.166	57.77	50.43	49.6
Template:Country data Belarus	0.000	0.002	0.02	35.12	2.0
Template:Country data Belize	0.024	0.017	5.57	42.55	N/A
Template:Country data Benin	0.412	6.044	71.95	57.30	47.3
Template:Country data Bolivia	0.175	3.446	36.28	48.28	19.6
Template:Country data Bosnia and Herzegovina	0.003	0.031	0.81	37.19	2.0
Template:Country data Brazil	0.039	16.205	8.52	45.97	5.2
Template:Country data Burkina Faso	0.536	12.142	82.60	64.87	56.5
Template:Country data Burundi	0.530	6.591	84.50	62.69	81.3
Template:Country data Cambodia	0.263	7.703	53.87	48.88	40.2
Template:Country data Cameroon	0.299	10.211	54.61	54.67	32.8
Template:Country data Central African Republic	0.512	3.716	86.41	59.29	62.4
Template:Country data Chad	0.344	6.667	62.90	54.72	61.9
Template:Country data People's Republic of China	0.056	165.787	12.47	44.89	15.9
Template:Country data Colombia	0.041	4.090	9.21	44.12	16.0
Template:Country data Comoros	0.408	0.444	73.93	55.25	46.1
Template:Country data DR Congo	0.393	45.740	73.18	53.73	59.2
Template:Country data Côte d'Ivoire	0.320	10.484	52.16	61.39	23.3
Template:Country data Croatia	0.007	0.070	1.60	41.56	2.0
Template:Country data Czech Republic	0.000	0.001	0.01	46.67	2.0
Template:Country data Djibouti	0.139	0.235	29.32	47.25	18.8
Template:Country data Dominican Republic	0.048	1.083	11.05	43.28	5.0
Template:Country data Ecuador	0.009	0.294	2.21	41.59	4.7
Template:Country data Egypt	0.026	5.138	6.41	40.37	2.0
Template:Country data Estonia	0.026	0.094	7.22	36.54	2.0
Template:Country data Ethiopia	0.582	70.709	89.96	64.74	39.0
Template:Country data Gabon	0.161	0.495	35.39	45.47	4.8
Template:Country data Gambia	0.324	0.967	60.42	53.56	34.3
Template:Country data Georgia	0.003	0.035	0.80	35.21	13.4
Template:Country data Ghana	0.140	6.894	30.11	46.40	30.0
Template:Country data Guatemala	0.127	3.466	25.86	49.11	11.7
Template:Country data Guinea	0.505	7.906	82.35	61.28	70.1
Template:Country data Guyana	0.055	0.110	13.77	39.67	7.7
Template:Country data Haiti	0.306	5.556	57.27	53.34	54.9
Template:Country data Honduras	0.160	2.349	32.62	48.91	18.2
Template:Country data Hungary	0.003	0.076	0.76	38.89	2.0
Template:Country data India	0.296	644.958	55.38	53.50	41.6
Template:Country data Indonesia	0.095	46.666	20.77	45.90	7.5
Template:Country data Iraq	0.059	4.203	14.25	41.27	N/A
Template:Country data Jordan	0.010	0.159	2.70	35.45	2.0
Template:Country data Kazakhstan	0.002	0.090	0.59	36.90	3.1
Template:Country data Kenya	0.302	22.835	60.41	50.01	19.7
Template:Country data Kyrgyzstan	0.019	0.258	4.86	38.81	21.8
Template:Country data Laos	0.267	2.882	47.25	56.50	44.0
Template:Country data Latvia	0.001	0.007	0.30	46.67	2.0
Template:Country data Lesotho	0.220	0.961	48.07	45.79	43.4
Template:Country data Liberia	0.484	3.022	83.94	57.65	83.7
Template:Country data Republic of Macedonia	0.008	0.038	1.92	40.87	2.0
Template:Country data Madagascar	0.413	13.114	70.51	58.54	67.8
Template:Country data Malawi	0.384	10.406	72.26	53.19	73.9
Template:Country data Mali	0.564	10.806	87.14	64.71	51.4
Template:Country data Mauritania	0.352	1.912	61.68	57.07	21.2
Template:Country data Mexico	0.015	4.278	3.98	38.86	2.0
Template:Country data Mongolia	0.065	0.410	15.76	41.01	22.4
Template:Country data Montenegro	0.006	0.009	1.53	41.61	N/A
Template:Country data Morocco	0.139	8.892	28.50	48.83	2.5
Template:Country data Mozambique	0.481	17.475	79.79	60.25	74.7
Template:Country data Myanmar	0.088	6.969	14.19	62.01	N/A
Template:Country data Namibia	0.187	0.832	39.62	47.19	49.1
Template:Country data Nepal	0.350	18.322	64.74	54.05	55.1
Template:Country data Nicaragua	0.211	2.281	40.73	51.86	15.8
Template:Country data Niger	0.642	13.070	92.69	69.31	65.9
Template:Country data Nigeria	0.368	93.832	63.53	57.87	64.4
Template:Country data Pakistan	0.275	88.276	50.97	54.03	22.6
Template:Country data Palestinian territories	0.003	0.028	0.69	38.22	N/A
Template:Country data Paraguay	0.064	0.809	13.26	48.50	6.5
Template:Country data Peru	0.085	5.645	19.81	43.09	7.9
Template:Country data Philippines	0.067	11.158	12.58	53.45	22.6
Template:Country data Moldova	0.008	0.081	2.19	37.55	8.1
Template:Country data Russia	0.005	1.795	1.26	38.85	2.0
Template:Country data Rwanda	0.443	7.730	81.36	54.39	76.6
Template:Country data São Tomé and Príncipe	0.236	0.103	51.62	45.80	N/A
Template:Country data Senegal	0.384	7.964	66.92	57.40	33.5
Template:Country data Serbia	0.003	0.081	0.83	40.03	N/A
Template:Country data Sierra Leone	0.489	4.399	81.47	60.04	53.4
Template:Country data Slovakia	0.000	0.000	0.00	0.00	2.0
Template:Country data Slovenia	0.000	0.000	0.00	0.00	2.0
Template:Country data Somalia	0.514	7.061	81.16	63.30	N/A
Template:Country data South Africa	0.014	1.510	3.07	46.70	26.2
Template:Country data Sri Lanka	0.021	1.061	5.33	38.67	14.0
Template:Country data Suriname	0.044	0.037	7.46	58.82	15.5
Template:Country data Swaziland	0.183	0.494	41.13	44.44	62.9
Template:Country data Syria	0.021	1.134	5.53	37.52	N/A
Template:Country data Tajikistan	0.068	1.145	17.10	40.03	21.5
Template:Country data Tanzania	0.367	26.952	65.26	56.29	88.5
Template:Country data Thailand	0.006	1.105	1.65	38.49	2.0
Template:Country data Togo	0.284	3.418	54.25	52.43	38.7
Template:Country data Trinidad and Tobago	0.020	0.073	5.62	35.12	4.2
Template:Country data Tunisia	0.010	0.285	2.82	37.13	2.6
Template:Country data Turkey	0.039	6.183	8.47	45.93	2.7
Template:Country data Ukraine	0.008	1.014	2.19	35.74	2.0
Template:Country data United Arab Emirates	0.002	0.025	0.57	35.32	N/A
Template:Country data Uruguay	0.006	0.056	1.68	34.71	2.0
Template:Country data Uzbekistan	0.008	0.625	2.32	36.21	46.3
Template:Country data Vietnam	0.075	12.313	14.30	52.50	21.5
Template:Country data Yemen	0.283	11.710	52.51	53.94	17.5
Template:Country data Zambia	0.325	7.830	63.66	51.10	64.3
Template:Country data Zimbabwe	0.174	4.769	38.46	45.22	N/A

Source: Alkire, Sabina and Maria Emma Santos. 2010. Multidimensional Poverty Index: 2010 Data. Oxford Poverty and Human Development Initiative. Available at: www.ophi.org.uk/policy/multidimensional-poverty-index/.

See alsoEdit

• Human Development Index

ReferencesEdit

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