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李萬雨(Lee, Man-Woo),羅城麟(Na, Seong-Lin),玄鎭權(Hyun, Jin-Kwon) 한국재정학회(구 한국재정·공공경제학회) 1994 재정논집 Vol.8 No.-
The purpose of this research is to measure the level of poverty by using several poverty indexes. We also show the effect of benefit system on the level of poverty through the measurement of poverty indexes. Those indexes include head count, poverty gap, income gap ratio, and Sen poverty index. We use two survey data, which are the Family Income and Expenditure Survey and the Farm Household Economy Survey in 1991. Those are combined together to represent all population in Korea. We find that benefit system is very effective to reduce the level of poverty. Also the level of poverty in urban area is higher than that in rural area. Our empirical measurement of several poverty indexes shows consistency. However, Sen index is superior to other indexes which do not consider the inequality among the people under poverty line. Our research can be easily applied to simulate various effect of alternative benefit policies on the level of poverty by developing user-friendly computer software. It will provide policy makers with scientific approach in welfare policy.