The central motivating ‘fact’ in the poverty dynamics literature is that some of the poor are not poor all the time. Thus, poverty is dynamic. In most contexts, the inter ‘temporal variation in economic dimensions of well-being, such as income or consumption capabilities, is greater than other dimensions. Thus, economic aspects of poverty are particularly dynamic.
This bibliography examines the distinction between poverty dynamics literature and two other types of poverty literature: static poverty analysis, and poverty trends. The distinction is based on the data used in each type of analysis. Static poverty analysis is based on data from a single cross-section of households (or individuals), and poverty trends are based on series of such cross-sectional data. In contrast, poverty dynamics is based on longitudinal data which tracks the same households (or individuals) over time.
Comparisons of poverty or inequality between two countries would also be incomplete without addressing the dynamics of socio-economic mobility. Countries with identical poverty and inequality levels and trends may have different levels of mobility – in which case the identities of the poor and the poorest would change to different extents. In terms of poverty, higher mobility would mean more of the poor would spend time out of poverty, and in terms of inequality, more of the poorest would spend some time being better off. Thus, unless there is complete immobility inter-temporal measures of poverty and inequality will differ from cross-sectional measures of poverty and inequality.
