Poverty Dynamics in Vietnam, 2002-2006
This paper provides a descriptive and multivariate analysis of poverty dynamics in Vietnam using panel data from the Vietnam household living standards surveys of 2002, 2004, and 2006. Transition matrices and contour plots confirm that while large numbers of households moved out of poverty between these years, many did not move far the poverty line and that around a tenth of rural households appear to be trapped in chronic poverty. Different categorical models are then estimated to analyze the correlates of chronic poverty and the drivers of poverty transitions in rural areas.