Poverty as Severe Capability Deprivation

Amartya Sen and the

Evolution of the Concept of Poverty

Leland Joseph R. de la Cruz

Director, Development Studies Program

Limitations of the Basic Needs Approach

• Basic needs are just means to various ends.– Different means have to be in place for various

ends to be realized. – There is room for creativity in identifying the

appropriate means for various ends.

• Focus on basic needs distracts from non-market ends.

Poverty and Income

Basic Needs are just means to various ends

• Ability to be Healthy

• Ability to be Educated

• Ability to Engage in Productive Activity

Basic Needs as Means to Ends

Can I be healthy?Can I avail of health services?

Can I be educated?Can I go to school?

Many means are needed for a single end

1. Ability to be healthy - Ability to acquire food

- Access to health services- Access to education

- Ability to live in adequate space- Ability to live in a clean environment

2. Access to education- Access to educational services- Dependent on ability to be healthy

3. Ability to engage in productive employment

- Dependent on ability to be healthy

- Access to employment

- Access to credit

Many means are available for a single end

Ability to be educated

• Schooling

• “Non-formal” formal education

• Media

• Internet

Non-market ends

Cultural identity Social Belonging

Organizational capacity Respect and dignity

Political participation and accountability of governance structures

Emotional Integrity: freedom from fear and anxiety

Aside from fulfillment of material needs, what other desires do the poor themselves express?

Entitlements and Capabilities

Entitlements: Commodities over which a person can exercise ownership or command. WHAT DO I HAVE? WHAT CAN I ACQUIRE?

Capability: Alternative combinations of states of being a person can achieve. WHAT CAN I BE? WHAT CAN I DO?

Poverty and Capabilities

Poverty constitutes a severe failure of capabilities.

Female Life Expectancy2000, PSY

50 60 70 80 90

China

Hong Kong

Korea

Singapore

Taiwan

Indonesia

Malaysia

Philippines

Thailand

Vietnam

Bangladesh

Male Life Expectancy2000, PSY

50 55 60 65 70 75 80

China

Hong Kong

Korea

Singapore

Taiwan

Indonesia

Malaysia

Philippines

Thailand

Vietnam

Bangladesh

Life Expectancy2004, PSY

55

57

59

61

63

65

67

69

71

Infant Mortality Rateper 1,000 deliveries; 2000, PSY

0 10 20 30 40 50 60

China

Hong Kong

Korea

Singapore

Taiwan

Indonesia

Malaysia

Philippines

Thailand

Vietnam

Bangladesh

Infant Mortality Rate per 1,000 deliveries; 2000, PSY

05

1015

2025

3035

4045

Philipp

ines

NCRCAR I II III IV

AIV

B V VIVII

VIII IX X XIXII

CARAGA

ARMM

Infant Mortality Rate per 1,000 deliveries; 2000, PSY

0

5

10

15

20

25

30

35

40

45

Quintile

LowestSecondThirdFourthFifth

Infant Mortality Rate per 1,000 deliveries; 2000, PSY

0

5

10

15

20

25

30

35

40

Location

UrbanRural

Maternal Mortality Rateper 100,000 live births; 1996-2000, PSY

0 100 200 300 400 500

China

Hong Kong

Korea

Singapore

Taiwan

Indonesia

Malaysia

Philippines

Thailand

Vietnam

Bangladesh

Maternal Mortality Rateper 100,000 live births; 1995, PSY

100

150

200

250

300

350

Philipp

ines

NCRCAR I II III IV V VI

VIIVIII IX X XI

XII

ARMM

Human Development Index

• Income per capita

• Health– Life Expectancy

• Education– Mean Years of Schooling– Literacy Rate

Human Development Index UNDP 2004

Country Rank HDI Country Rank HDI

Norway 1 0.956 Philippines 83 0.753

U.S.A. 8 0.939 China 94 0.745

Singapore 25 0.902 Indonesia 111 0.692

Malaysia 59 0.793 Viet Nam 112 0.691

Thailand 76 0.768 Sierra Leone

177 0.273

0.6

0.62

0.64

0.66

0.68

0.7

0.72

0.74

0.76

0.78

1975 1980 1985 1990 1995 2002

Human Development Index UNDP 2004

Human Poverty Index UNDP 2004

• Probability at birth of not surviving to age 40.

• Adult illiteracy rate.

• Population without access to an improved water source.

• Children underweight for age.

Country Rank HPI Country Rank HPI

Barbados 1 2.5 Philippines 28 15.0

Singapore 6 6.3 Indonesia 35 17.8

Thailand 22 13.1 Viet Nam 41 20.0

China 24 13.2 Burikina Faso

95 65.5

Human Poverty Index UNDP 2004

Data Sources

• Philippine Statistical Yearbook

• United Nations Development Program, Human Development Report, 2004

Poverty as Severe Capability Deprivation

Amartya Sen and the

Evolution of the Concept of Poverty

Leland Joseph R. de la Cruz

Director, Development Studies Program