Rural poverty in Indonesia : proxy-means tests, dynamics, and linkages with deforestation

This thesis aims at analyzing three aspects of rural poverty in Central Sulawesi, Indonesia: Its aim is to assess the robustness of two operational poverty assessment models developed in 2005 for Central Sulawesi. It thus contributes to the discussion on the rationale for operational poverty assessment by proxy-means tests. Furthermore, the study aims to gain a better understanding of the poverty dynamics in the region and it is the most recent contribution to the to this topic in the Indonesian context. Additionally, the study explores the link between rural poverty and deforestation at the household level in the research area. The analyses are based on primary data obtained from household surveys on expenditures and income in the vicinity of the Lore Lindu National Park in Central Sulawesi. In 2005, two very promising operational poverty assessment models were developed for Central Sulawesi using 15 proxy indicators to predict absolute poverty. In 2007, both models were tested regarding the extent to which these models are robust over time in terms of prediction power and in terms of their indicator composition ...