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Scirj Volume IV, Issue IX, September 2016 Edition
ISSN: 2201-2796

Structure of Household Income and Expenditure and Its impact on Poverty Alleviation

SHAPON KUMAR, S. K. Sarkar

Abstract: The aim of current study is to find determinants to alleviate poverty using data of the Household Income and Expenditure Survey-2010 conducted by the Bangladesh Bureau of Statistics. According to the destination, Multinomial logit model with nominal response is appropriate for determining objective variables. It is common practice thatthe categorical response has more than two levels. Here, dependent variable calorie intake has four levels and independent variable, level of education has two categories, household members have four categories, household income and household expenditure both have four categories. Determining the significance of explanatory variablesfor alleviating poverty, maximum likelihood ratio test, Wald test were used. The findings suggest that the parameters estimates under three logit, household members and household expenditure are significantly associated with the poverty. Thus, it can be concluded that this model may play a vital role in alleviation of poverty in Bangladesh as well as in the third world countries.

Reference this Paper: Structure of Household Income and Expenditure and Its impact on Poverty Alleviation by SHAPON KUMAR, S. K. Sarkar published at: "Scientific Research Journal (Scirj), Volume IV, Issue IX, September 2016 Edition, Page 36-44 ".

Search Terms: Nominal response, Multinomial Logit, Likelihood Ratio Test, Wald Test, Odd Ratio, Deviance

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