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An Alternative of Poverty Line Measurement: a Case Study of Indonesia

Widodo, Tri (2001): An Alternative of Poverty Line Measurement: a Case Study of Indonesia. Published in: Journal of Accounting, Management, and Economic Research , Vol. 2, No. 1 (1 February 2002): pp. 1-23.

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Abstract

This paper discusses poverty lines in Indonesia. Firstly, the various poverty lines in Indonesia is discussed. The differences in methodologies and assumptions had created the central controversies in determining the poverty lines: kinds and quantities of goods. Secondly, an alternative poverty line measurement is the theoretically derived under Linear Expenditure System (LES). This poverty line might overcome the controversies. Thirdly, the poverty line measurement is then applied in case of Indonesia. This paper consludes that the economic crisis in 1997 had led to the increase of poverty lines in urban areas higher than in rural area.

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