A Multi-Dimensional Measure of Poverty Using the Totally Fuzzy and Relative Approach

Abstract

Totally Fuzzy and Relative (TFR) approach is an effective tool to overcome the limitations of the traditional methods of measuring poverty. In this paper, a set of composite indicators are derived to analyse the different dimensions of poverty and determine the relative deprivation, degree of social exclusion and the inability for a household to achieve a living standard of the province in which it belongs. An uni-dimensional poverty ratio is calculated for each indicator and finally a multi- dimensional poverty ratio is calculated for each province allowing a comparison among provinces in the Republic of South Africa using the results from the 1996 census and 2001 census.