An alternative approach to measure multidimensional poverty using fuzzy sets: spatial analysis for Ecuador

Abstract

The theory of fuzzy sets provides a referential framework for measuring poverty under a multidimensional approach. This theory replaces the poor or non-poor dichotomy, by the gradual belonging to the group of the poor. The objective of the research is to propose an alternative method for the measurement of multidimensional poverty in Ecuador. The methodology consists in the construction of three poverty indexes applying the theory of fuzzy sets and the capabilities approach. The main results show that public policies must be prioritized towards housing and education, and that at the regional level there is no spatial autocorrelation nor clusters of multidimensional poverty.