Semi-parametric estimation of equivalence scales: An application to household surveys in Peru

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December 2018

Language: Spanish

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Semi-parametric estimation of equivalence scales: An application to household surveys in Peru

Keywords

  • equivalence scale
  • household spending
  • monetary poverty

JEL Classification

  • C14
  • I31
  • I32

Abstract

The objective of this study is to estimate the equivalence scales derived from household consumption in Peru. It is worth noting that there are no studies in Peru focused on estimating equivalence scales. Two semiparametric models were estimated using the 2014 National Household Survey (ENAHO). The results indicate that, based on actual household expenditures, the economies of scale are greater than those considered using the per capita approach and also greater than the implicit scales derived from the caloric requirements scale.