Living on the Edge : Vulnerability to Poverty and Public Transfers in Mexico

Social policy in Mexico has focused on identifying and supporting chronically poor households. Yet, Mexico has a significant number of households that are just above the poverty line who are not eligible, by definition, for antipoverty programs and are at risk of falling back into poverty in the event of an economic crisis or shocks like loss of employment and natural disasters. These shocks can have serious negative effects on welfare in the absence of social safety nets targeted to these households. This study uses household survey data to better understand these "vulnerable" households, including their profile and risk exposure and, more importantly, to document the extent to which these households are covered by public transfers and insurance mechanisms. The analysis shows that until 2010 most social programs, including the few with productive components, such as vocational training and productive investment grants, barely covered the vulnerable. The study concludes that public policies need to pay attention to the vulnerable households and find the right policy mix between targeted interventions and universal insurance schemes to serve this economic group.

Bibliographic Details

Main Authors:	Ortiz-Juarez, Eduardo, de la Fuente, Alejandro, Rodriguez Castelan, Carlos
Language:	English en_US
Published:	World Bank Group, Washington, DC 2015-01
Subjects:	ACCESS TO MEDICAL SERVICES, AGRICULTURAL INSURANCE, AGRICULTURAL PRODUCERS, AGRICULTURAL PRODUCTION, AGRICULTURAL PRODUCTS, AGRICULTURAL SECTOR, AGRICULTURAL WORKERS, ANTI-POVERTY, ANTI-POVERTY INTERVENTIONS, ANTI-POVERTY PROGRAM, ASSET HOLDINGS, BASIC EDUCATION, CASH TRANSFER PROGRAM, CASH TRANSFER SCHEME, CASH TRANSFERS, CENSUSES, CHILD LABOR, CHRONICALLY POOR, CLIMATE CHANGE, CONSUMPTION INSURANCE, CONSUMPTION POVERTY, CORRELATES OF POVERTY, DAY CARE, DECOMPOSABLE POVERTY, DEPENDENCY RATIOS, DEVELOPMENT POLICY, DIMENSIONS OF POVERTY, DIRECT TRANSFERS, DIVERSIFICATION, ECONOMIC GROWTH, ECONOMIC INEQUALITY, ECONOMIC INSECURITY, ECONOMIC RESOURCES, EDGE OF POVERTY, ELDERLY, EMPLOYMENT OPPORTUNITIES, ESTIMATES OF POVERTY, EXTREME POVERTY, EXTREME VULNERABILITY, FARMER, FARMERS, FOOD INSECURITY, FOOD PRICES, FOOD PROGRAMS, FOOD SECURITY, FOOD SUPPLEMENTS, HEALTH CARE, HEALTH INSURANCE, HOUSEHOLD ASSETS, HOUSEHOLD HEAD, HOUSEHOLD INCOME, HOUSEHOLD SIZE, HOUSEHOLD SURVEY, HOUSEHOLD VULNERABILITY, HOUSING, HUMAN CAPITAL, HUMAN DEVELOPMENT, ILL HEALTH, ILLNESS, INCIDENCE ANALYSIS, INCIDENCE OF POVERTY, INCOME POVERTY, INCOME RISK, INCOME SHOCKS, INEQUALITY, INSURANCE, INSURANCE SCHEMES, INTERNATIONAL POVERTY LINE, JOB TRAINING, LABOR MARKET, LABOR MARKET POLICIES, LABOR MARKET PROGRAMS, LABOR MARKETS, LARGE FAMILIES, LEVELS OF CONSUMPTION, LEVELS OF EDUCATION, LIVESTOCK PRODUCERS, LIVING STANDARDS, MACROECONOMIC SHOCKS, MALNUTRITION, NATIONAL COUNCIL, NATIONAL LEVEL, NATURAL DISASTER, NATURAL DISASTERS, NATURAL SHOCKS, NUMBER OF HOUSEHOLDS, NUMBER OF PEOPLE, NUTRITIONAL CARE, PEACE, PENSIONS, PERSISTENT POVERTY, POLICY DISCUSSIONS, POLICY MAKERS, POLICY RESEARCH, POLICY RESEARCH WORKING PAPER, POOR HOUSEHOLDS, POOR INDIVIDUALS, POOR POPULATION, POOR POPULATIONS, POOR RURAL HOUSEHOLDS, POVERTY ALLEVIATION, POVERTY ANALYSIS, POVERTY ASSESSMENTS, POVERTY ESTIMATES, POVERTY INDICES, POVERTY LEVEL, POVERTY LINE, POVERTY LINES, POVERTY MEASUREMENT, POVERTY MEASURES, POVERTY MITIGATION, POVERTY PERSISTENCE, POVERTY RATE, POVERTY RATES, POVERTY REDUCTION, POVERTY REDUCTION STRATEGIES, POVERTY STATUS, PRENATAL CARE, PROGRESS, PUBLIC SPENDING, PUBLIC TRANSPORTATION, PURCHASING POWER, PURCHASING POWER PARITY, RECREATION, REDUCTION OF POVERTY, REGIONAL LEVEL, RESPECT, RISK MANAGEMENT, RUNNING WATER, RURAL, RURAL AREA, RURAL AREAS, RURAL POPULATION, RURAL POVERTY, SAFETY NET, SCHOOL ATTENDANCE, SCHOOLING, SECONDARY EDUCATION, SEISMIC REGIONS, SOCIAL ASSISTANCE, SOCIAL CLASS, SOCIAL DEVELOPMENT, SOCIAL DIMENSIONS, SOCIAL POLICIES, SOCIAL POLICY, SOCIAL PROGRAMS, SOCIAL PROGRESS, SOCIAL PROTECTION, SOCIAL SAFETY NETS, SOCIAL SECURITY, SOCIAL SPENDING, STATE GOVERNMENTS, SUBSISTENCE, TARGETING, TECHNICAL EDUCATION, TRANSFER PROGRAMS, TV, UNEMPLOYMENT, URBAN AREAS, VOCATIONAL TRAINING, VULNERABILITY ASSESSMENT, VULNERABILITY TO POVERTY, VULNERABLE FAMILIES, VULNERABLE GROUPS, VULNERABLE HOUSEHOLDS, VULNERABLE SECTORS,
Online Access:	http://documents.worldbank.org/curated/en/2015/01/23839197/living-edge-vulnerability-poverty-public-transfers-mexico https://hdl.handle.net/10986/21398
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