Table 1 Methods of identifying the poor
Method | Ideal condition to use in sub-Saharan Africa | Drawback | Error of exclusiona |
|---|---|---|---|
Means testing (MT) | None | Very expensive | No error of exclusion |
Proximal means testing (PMT) | Low poverty incidence urban areas | Expensive, measures relative poverty | Possibility of significant error of exclusion |
Geographic targeting (GT) | High poverty incidence areas (both urban and rural) | GT could lead to the non-poor who live in poor neighborhoods being exempted from premium | No error of exclusion |
Participatory wealth ranking (PWR) | Low poverty incidence rural communities | Measures relative poverty, cannot be used where community ties are weak | Possibility of significant error of exclusion |