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Describe in detail the phenomenon of social exclusion and marganilization How is it less threatening

than proverty?

Abstract

Historically poverty as a concept considered to be a key factor to design social policy. The social

development normally concerned with socio-economic empowerment of poor of concerned

society. The treatment of poverty is different from society to society. In advanced countries, an

individual who is unable to actively participate in society, has weak social network, environment

, health and education etc is considered to be poor, parallel with financial empowerment is also

considered to be important in these countries but it takes into account with other dimensions of

poverty as well ( Lyberak and Tinios, 2005) while in developing countries, policy focus is on uni

dimensional definition of poverty however this multidimensional poverty concept is also going

to get acceptance in these countries.

This study tries to see the intensity of multidimensional poverty among marginalized class in

Punjab. With the help of two waves of Multiple Indicator Cluster Survey (MICS) 2007 and 2011,

problem with national level data set is that they do not address issue of marginality, therefore this

study used sample of marginalized class from Zahra and Tasneem (2014) and employee Poison

Regression technique on the extracted sample. The findings reveals that marginalized class has a

great incidence of poverty and poor in multidimensional aspects. Introduction:

Historically poverty as a concept considered to be a key factor to design social policy. The social

development normally concerned with socio-economic empowerment of poor of concerned

society. It is always been a key issue for developing as well as developed countries, however the

nature and treatment of issue is different among nations. The treatment of poverty is different

from society to society. In advanced countries, an individual who is unable to actively participate

in society, has weak social network, environment, health and education etc. is considered to be

poor, parallel with financial empowerment is also considered to be important in these countries

but it takes into account with other dimensions of poverty (Lyberak and Tinios, 2005) while in

developing countries, policy focus is on uni-dimensional definition of poverty where a single

dimension either consumption or income is a strong factor which affect standard of living of an

individual (Wagle, 2005). However this multidimensional poverty concept is also going to get
acceptance in these countries with a perception that an individual’ status in one dimension cannot

represent his status in another dimension. Another important transformation in the literature of

poverty is seen in form of marginality and social exclusion (Ruth et al, 2007, Zoran et al, 2006.

Whelan & Bartrand, 2005).

Marginality and social exclusion is highlighted as policy focuses and treated as an independent

phenomenon related with poverty. In developed countries, especially in Britain, different

initiatives were taken by government and non-government agency to reduce social exclusion

hence poverty. Separate surveys was conducted to see the gross root of the problem, in Canada,

Canadian Institute of health sciences introduce marginality index as a policy measure. In

developing countries, unfortunately very limited literature is available in the area of marginality

and social exclusion. However in India, due to caste inequalities, this issue is getting great

attention of the researchers (World Bank, 2011, Thorat & Nidhi, 2010, Thorat et al 2009, Mitra,

2004). Marginality broadly defines as a state situated at the margin, this could lead toward social

exclusion hence poverty or a marginal person can be out of poverty. On the other hand the term

“social exclusion” is a vibrant, multidimensional process driven by unequal power relationships.

This exclusion can affect individual, household, group, community and countries across four

dimensions i.e. economic, political, social and cultural and make certain object more vulnerable

which leads them to high incidence of poverty (Jennie et al, 2008). In this respect, the study ofpoverty
dynamics could benefit from engaging with, and incorporating, models or detailed

conceptions of multidimensional social exclusion among the marginalized population.

The state of poverty among this marginalized class may be different from other population. This

marginalized class may face exclusion in socio-economic and cultural participation in the society

which deprive them in education, health, networking etc. however the determinants of poverty

may be the same but the effect of these determinants may be different. This article aims to

provide a district level analysis which focus on micro level poverty analysis of this marginalized

class. A number of literature available which theoretically and conceptually establish dimensions

and characteristics of marginalization, addressing processes of restricted participation of this

marginalized class in social, economic, political or cultural life of common society. Nevertheless,

poverty and social exclusion as two descriptions of severe social inequality have often been
mixed up, and hypothesis about their interrelation and characteristics have hardly been tested

empirically. Is poverty the first stage on the way out of society, or are there considerable

differences between the risks of becoming poor or socially excluded? In this contribution this

article proposes the conceptualization and operationalization of social exclusion tendencies and

incidence of poverty in this marginalized class. The empirical analysis employs Poisson

regression analysis to see the determinants of multidimensional poverty among marginalized

class.

4.1. Literature Review

The global importance of urban poverty has been acknowledged due to its investigation in

various dimensions and by being tested on different population cadre. The rapid rural-urban

migration, structural changes in developing economies and globalization is enhancing the issue

of urban poverty and is creating serious problems in the management of urban areas of

developing countries, Pakistan being one of them. One of the evident causes of poverty and

inequality in the urban areas is vulnerability (Susan et al, 2001, WDR, 2001, Oxfam GB Urban

Program, 2009). Poverty is not a uni-dimensional concept and is not the name of material

deprivation but is a set or an outcome of interlocking factors such as physical weakness, socio-

economic isolation, vulnerability and powerlessness (Philip, 2008). This incidence of

vulnerability to poverty is high among socially excluded groups and ultimately these groups are

more vulnerable to health poverty, education poverty and other dimensions of poverty (Jennie et

al, 2008). Since these groups are more vulnerable, they face greater incidence of poverty than therest of
the community. This vulnerability to poverty may be same or different within certain

socially excluded groups and is strongly dependent upon the clan network of households existing

in a marginalized group. Evidence shows a strong impact of social networking on the extent of

vulnerability in these marginalized groups, social relationships of reciprocal exchange and

mutual help in the struggle for the survival play an important role (Bruce, 2004, Margarida, et al

(2007)). Unfortunately these factors leading to poverty have received less attention of the

researchers in Pakistan, mostly research on the issue of poverty in Pakistan explores levels,

trends and dynamics but not much attention is given to the issue of vulnerability to

multidimensional poverty of the marginalized livelihood of this country.


A person is normally considered vulnerable due to deficit consumption but there are other factors

that contribute significantly to make one feel deprived including the shortfall of living needs.

The living standards are highly affected by insecurity and powerlessness of future shortfalls.

Calvo (2008) therefore considered this vulnerability to multidimensional poverty as a form of

hardship that is defined in both conceptual and empirical way. He extended his own index that he

developed in 2005 and used bi-dimensional measures of consumption and leisure. His findings

suggest that these two dimensions are negatively correlated in both rural and urban cases. This

vulnerability is different from poverty much attention is needed to differentiate between

vulnerability and poverty.

Vulnerability is related with poverty but it is not necessary that all poor are vulnerable or all

vulnerable are poor. Angemi (2011) supported this view in his study with the help of household

level analysis within poverty framework. He pointed out that the characteristic of vulnerability is

consistent with the characteristics of poor so by this he found that poverty and vulnerability both

are related with each other. However, an important point of his analysis was that all poor are not

vulnerable while some proportions of non-poor are vulnerable. In the same lines Susan and

Takashi (2002) employed two period panel data set of the North-West Frontier Province,

Pakistan and proved that the sample household was subject to a high risk of income poverty.

Results also revealed the households are more vulnerable to consumption poverty and are

affected by the shock of outside employment as compared to self-employed households. An

important outcome from this analysis concludes that the age, having less land and irregular

sources of income strongly affect the extent of vulnerability among households. Diego (2011) is

of the view that the dynamics of risk and uncertainties are helpful to understand the nature ofpoverty.
By applying the pooled GLS method on the national data sets of Uganda, he discovered

that along with a sharp reduction in poverty, the vulnerability to poverty in Uganda has also

declined, however, the issue of marginalization existed due to geographical segregation. The

results revealed that the central region experienced reduction in incidence of vulnerability while

the rural areas, where 90% of population is living under extreme poverty conditions, the

incidence of vulnerability has increased. Supporting the findings of Diego (2011), a worldly

accepted truth is that this high incidence of vulnerability to poverty is mostly dominant in
socially excluded and marginalized group.

Early research also support the idea of this social exclusion, In industrialized countries, the

evolution of one parent family defines a new pattern of poverty and marginalization. This

marginalization exists not only in labor market of these countries but also exists in the provision

of public housing (HILARY, 1989). On the other hand, David, et al (2000) tried to develop a

baseline for understanding the nature of poverty and social exclusion. They used poverty in

terms of deprivation from goods, services and social activities. They are of the view that this way

of measuring deprivation satisfied both absolute and relative poverty terms. The analysis shows

the there is an increase in the multiple deprivation and poverty in Britain during the survey

period. By identifying these issues in family-cycle approach, Dewilde (2003) tried to develop a

framework of analysis of poverty and social exclusion. As per his views, a life course

perspective re-conceptualizes the traditional approaches and combines their best element into the

analysis of social exclusion hence poverty. He used three sociological perspectives on the life

course i.e. the traditional North-American life course perspective by Elder (1974), the

Continental institutional approach and “political economy of the life course”. With the help of

these three approaches, he proposed a new framework to analyze poverty and social exclusion

relationship over the life course, both theoretically and empirically.

These circumstances of poverty are strongly related with level of social exclusion and parental

social class. The factors that provide the poverty prospects at childhood age due to parental

social class are strongly associated with current lacking of basic infrastructure (Aya, K., 2009).

This was also proved by Christopher et al (2013) with the help of a comparative analysis

between four important factors i.e. social exclusion, parental status, childhood economic status

and state of current poverty. With the help of EU-SILC module, they figured out how the welfare

regimes mediate the impact of parental social class and childhood economic circumstances onpoverty.
Findings showed that by applying social class plan, intergenerational factors have least

impact on income poverty. The other objective of the analysis was to get knowledge about the

impact of parents’ class and childhood economic circumstances on income poverty and it was

discovered that the impact of parent social class on income poverty is weak for social democratic

countries and strong for liberal countries, however social class has high impact on vulnerability.
In case of income poverty the impact of vulnerability is high in relation to both parent’s social

class and childhood economic circumstances. Economic vulnerability has also high impact on

welfare regimes which experienced difficult economic circumstances in childhood.

Franz et al (2011) has provided conceptual and analytical framework in order to explore the root

cause of poverty. They were of the view that there is need to highlight poverty with respect to

marginality. They found marginality to be the root cause of extreme poverty. According to them,

marginality is an involuntary position and is a condition of an individual or group that is at the

brink of social, economic and ecological systems. Such marginality prevents affected

communities to utilize resources, assets and service and all other factors, that become the cause

of poverty. They define poverty as a matter of absolute deficiencies as perceived by the poor.

They look poverty as a relative, subjective, dynamic and systematic mechanism and concluded

marginality as a pattern of causal complexes in a societal and spatial dimension.

Nayar (2007) is of the view that poverty and social exclusion that are significant socio-economic

variables and are generally ignored while estimating ill-health effects. Social exclusion mainly

refers to the inability of a society to realize its full potential while keeping all groups and

individuals within reach. The relationship between caste and health indicator shows that poverty

is a complicated issue that requires to be addressed with a multi-dimensional facet.

Literature no doubt covers issues of poverty, marginality and social exclusion on very broad

way. Valuable input was given by different authors to explore issues of poverty among

marginalized class. But there is a lack of literature available in identification of marginal and

socially excluded population from poverty and social status dataset. Researchers made effort by

conducting survey of marginalized group but that was not at province or national level, however

the importance of defining socially excluded class at national level is vibrant. Therefore this

study identifies marginal population from existing dataset and analyzes extent of their

multidimensional poverty in Punjab. 4.2. Theoretical Framework

Poverty is a long term debate and developing countries are targeting to be free of poverty by

2015, the millennium development goals directly and indirectly target poverty eradication and

aims for a good standard of living for the livelihood of the society. To eradicate extreme poverty

and to make people out of extreme hunger requires a good educational infrastructure; reduced
child mortality, improved maternal health and gender equality and enhanced women

empowerment (United Nation, 2007). These goals not only help to reduce poverty among

general population but also address the issue of social exclusion in the deprived class. The

gender inequality is considered to be one of the important factors of social and economic

exclusion, women in developing countries have fewer opportunities to grow in education and

professional life, and globally around 25% of senior positions have been occupied by women but

are paid 23% less than men on average. Although in paid job women share has been increased by

40% but still there is a large room for improvement (David et al, 2011). In education and health

sector, these women are discriminated, and have fewer chances to avail good health and

education facilities as maternal mortality in developing world is fifteen times higher than the

developed world. The least developed economies face serious challenges in eradication such

exclusion in their respective countries. Progress towards reducing poverty is slower which

addresses policy gaps in achieving the target. Policies overlook the depth in the issues of poverty

and take poverty at general level, but the population who is actually excluded from rest is

ignored, that population is living below poverty line and marginalized in participating socio-

economic activities with rest of the population of the region. Unfortunately pro-poor growth

ignores this important aspect of poverty. The facts shows progress is slower in developing world

where globalization is seen in form of higher rural-urban migration but on other side, the

economic and social side is still deprived and fails to meet the challenges of this higher rate of

rural-urban migration. This causes an increase in the burden of city management and also an

increase in the size of the excluded area within the city or periphery of the city. Such population

is marginalized while living in the slums and katchi abadies of urban area and face a lack of

opportunities to acquire skills and access to labor market. This marginalized population then

becomes socially and ethnically excluded from the rest of the society and has less access to

educational, health and other urban services. This marginalization defines boundaries between groups
living in a society, some groups are

economically excluded and to some extent social inclusion prevail in such group, but on the

other hand some are demographically and economically excluded, in a society of developed as

well as developing countries, therefore marginalization can be considered as a process in which a


community or individual lives at margin and gradually become economically, culturally, socially

and politically excluded from rest of population (Zahra and Tasneem, 2014). There are some

deprived groups who are excluded in all dimensions of exclusion and spent deprived and

vulnerable life even being part of that society. Thus marginality leads to social exclusion in long

run and this social exclusion is blamed to be primarily responsible for social conflict due to its

inability to transform itself since it is strongly connected to the systems of oppression and

domination.

Figure 4.1:

Usually poverty links with material lacks, it has theoretical as well as strategic importance, but

the increasing understanding is that poverty is not just a name of material lacks, but also

associated with restricted access to resources that can make an individual or household well off.

UN has defined poverty through the “capability approach” and “the human rights approach”.

These inter-related themes provide an enriched understanding of poverty and we can define

poverty as: “A human condition characterized by the sustained or chronic deprivation of the resources,

capabilities, choices, security and power necessary for the enjoyment of an adequate standard of

living and other civil, cultural, economic, social and political rights”1

In continuation of defining poverty, Oxfam (2009) extends this definition into four dimensions,

these dimension includes social exclusion, relative and income poverty as well as relative

poverty status. Poverty can be defined as:

“Poverty can’t be comprehensively defined by a single approach; it needs to cover the aspects of

not having enough to either live on or to build from and being excluded either from wealth or

from the power to change for betterment, these sums up to four areas.”2

Thus poverty cannot be restricted to income and expenditure but it is the name of deprivation of

the resources that makes an individual better off in his social, economic, cultural and political

life. Oxfam (2009) also explains social exclusion as the fourth dimension of poverty. Exclusion

causes poverty, this relation may be causal and may make people vulnerable and then poor, this

marginality emerges due to certain groups’ representation from ethnic minority, deprived class,

deprived gender and due to lack of participation in social life, restricted access toward living

facilities etc that causes vulnerability amongst these groups and in turn poverty in the long run.
This marginality has two way relationships with poverty, it enforces people to be poor or poverty

enforces people to be marginalized. Individual or settlements being excluded from the dimension

of development and progress move towards extreme poverty. The people that are affected by

poverty and exclusion are considered to be the marginalized poor (ZEF, 2011).

Poverty is ex post phenomenon of social exclusion, it is caused by marginality or vice versa. A

vulnerable household can be in and out of poverty over time depending on the future income

prospects, expenditure stream, and accessibility to social services. A marginalized household can

be poor or non-poor. A marginalized household considers being poor or more sensitive to

shocks if that household has:

i. Low level of human capital, knowledge and access to skill improvement

UN, 2007 quoted in Oxfam, 2009

Oxfam, 200ii. Suffers from physical or psychological disabilities and poor access to health facilities

iii. Poor infrastructure and have less capacity to improve it

iv. Few productive and financial assets and has limited access to credit market

v. Poor social networking and excluded from normal lives of society.

vi. Poor access to job market opportunity.

Therefore:

A marginalized household is considered to be poor if it has a limited access to the living

needs, has limited or restricted access to social, economic and political life of its society due

to residential, societal, spatial, environmental deprivations etc. and has poor capacity to

ensure good standard of living for its members.

4.3. Methodology

The geographical focus of this paper is Punjab, Pakistan which is an economic hub of the

country. The dynamic nature of agriculture and industrial production along with having major

population share of the country makes it more important than other areas. Punjab witness major

urbanization in past few decades and trade liberalization is not proved to be beneficent for entire
population and segments of urban areas remain in extreme poverty. Numbers of studies are

available which covers issues of poverty in Punjab as well as Pakistan. The focus of the extent of

poverty and inequality among household, however advance level analysis on poverty is rare in

literature. In Pakistan, the studies based on the household level determinants of poverty are no

exception. Primary data from the combined round of PIHS was used by Siddiqui (2007) whereas

Siddiqui, A. (2009) used PSLM 2004-05 survey. Sikander (2009) use the data from Multiple

Indicator Cluster Survey (MICS)-2003-04 to analyze the determinants of poverty in Punjab.

Malik (1996) used self-collected data on a rural locality called “Wanda” (District Bhakkar,

Punjab). His results were based on a sample of size 100 and however were not nationally

representative for inference about the determinants of poverty.

The analysis of marginalization and poverty in this study is based on two waves of data from

Multiple Indicator Cluster Survey (MICS) conducted in 2007-08 and 2011-2012. In 2007-08,

91,280 households drawn to be participated in data collection process from which 59456 were

rural and 31824 were urban. Of this sample 594851 individual from urban and rural areasii. Suffers from
physical or psychological disabilities and poor access to health facilities

iii. Poor infrastructure and have less capacity to improve it

iv. Few productive and financial assets and has limited access to credit market

v. Poor social networking and excluded from normal lives of society.

vi. Poor access to job market opportunity.

Therefore:

A marginalized household is considered to be poor if it has a limited access to the living

needs, has limited or restricted access to social, economic and political life of its society due

to residential, societal, spatial, environmental deprivations etc. and has poor capacity to

ensure good standard of living for its members.

4.3. Methodology

The geographical focus of this paper is Punjab, Pakistan which is an economic hub of the

country. The dynamic nature of agriculture and industrial production along with having major

population share of the country makes it more important than other areas. Punjab witness major

urbanization in past few decades and trade liberalization is not proved to be beneficent for entire
population and segments of urban areas remain in extreme poverty. Numbers of studies are

available which covers issues of poverty in Punjab as well as Pakistan. The focus of the extent of

poverty and inequality among household, however advance level analysis on poverty is rare in

literature. In Pakistan, the studies based on the household level determinants of poverty are no

exception. Primary data from the combined round of PIHS was used by Siddiqui (2007) whereas

Siddiqui, A. (2009) used PSLM 2004-05 survey. Sikander (2009) use the data from Multiple

Indicator Cluster Survey (MICS)-2003-04 to analyze the determinants of poverty in Punjab.

Malik (1996) used self-collected data on a rural locality called “Wanda” (District Bhakkar,

Punjab). His results were based on a sample of size 100 and however were not nationally

representative for inference about the determinants of poverty.

The analysis of marginalization and poverty in this study is based on two waves of data from

Multiple Indicator Cluster Survey (MICS) conducted in 2007-08 and 2011-2012. In 2007-08,

91,280 households drawn to be participated in data collection process from which 59456 were

rural and 31824 were urban. Of this sample 594851 individual from urban and rural areascovered with a
wide range of socio-economic issues on living condition, economic situation,

health and education, housing etc. in data collected in 2011-12, 3102048 household was covered,

in which 3488 was urban and 3788 are rural, and this data set also covered more than 90

indicators from different socio-economic perspective. The unit of observation for the analysis of

this study is individual resides in urban areas of Punjab, Pakistan.

4.3.1. Empirical Model and Estimation Procedure

This paper is primarily concern with the measurement poverty among marginalized people of

Punjab with immediate focus on whether these people are living in extreme poverty or out of

poverty. The definition behind is that poverty is a relative concern which can be explain with

economic and social wellbeing, capability and social inclusion. Whereas marginalized and

socially excluded concept is another important dimension of the study which has been extracted

from Zahra and Tasneem (2014). The flow of empirical analysis based on marginalized

population as this study is concerned about measurement of poverty among marginalized people.

Zahra and Tasneem (2014) extract marginalized and socially excluded population in urban areas

of Punjab with the help of Index and calculate income inequalities of the socially excluded
population of all cities of Punjab.

Multidimensional poverty has been evaluated with different techniques in literature. Ramya et al

(2014) and Labar &Bresson (2011) estimated multidimensional poverty index based on alkair

foster measure, whereas Mahlberg & Obersteiner (2001), Sikander and Mudassar (2008) and

Merz & Rathjen (2011) used logit regression to see multidimensional poverty. Wagle (2005)

contributed in literature by introducing index based estimation of multidimensional poverty and

used structural equation modeling. Literature support a wide range of methodologies which used

structural as well as simultaneous equation modeling. Attention has now been diverting to

analyze the impact of different deprivation on extent of multidimensional poverty. The extent of

multidimensional poverty can be seen with the help of number of areas in which a specific

household or individual is deprived (Alkair & Foster, 2011, Jhon et al. 2013). Dimensions in

which household or individual are deprived measured as count data (number of dimension in

which each individual is deprived) are assessed with Poisson regression, a useful technique for

count data modeling. It is one of the robust model for discrete data modeling with an assumption

that the dependent variable (number of dimensions in which individual is poor) is distributed asPoisson
and its logarithm is a linear function if independent variables. Wang & Famoya (1997)

used this technique for the modeling of household fertility decision, Femoya et al (2004) made

an application of this model on accidental data, John et al (2013) use this to assess

multidimensional poverty in Nigeria.

Poisson regression capture discrete and non-negative nature of data, the second advantage of

Poisson regression is that it allows inference to be drawn on the probability of occurrence

(Winkelmann and Zimmermann 1995). Another important feature of Poisson regression is that

dependent variable is modeled as a deterministic function of independent or explanatory

variables, therefore randomness is fundamental and not because of other factors.

The dependent variable in the model is the number of dimension in which an individual is poor

with non-negative numbers. An individual’s deprivation in different dimension is based on

different socio-economic and demographic characteristics, the expected value of dependent

variable (y) on a set of explanatory variables (x) can be written as:

(
⁄)

Where

Y = dependent variable

x = set of explanatory variables such as health, education, assets, social wellbeing, environmental

wellbeing, economic inclusion etc.

e = base of natural logarithm

x’ = transpose of x

β = the vector of parameters

Above equation shows that E(y/x) is greater than zero, therefore an individual deprived in

number of dimensions conditional on x is the Poisson distributed with a probability of

⁄)

Where y = 1, 2, 3…8The maximum likelihood poison multidimensional poverty equation can be:

∑(

X’s in above equation are the set of independent socio-economic variables which describe
individual’s characteristics. The full model therefore can be written as:

Where

δi = the expected number of dimension in which individual is poor

e = the base of natural logrithem

β0 = the intercept

βj’s = coefficient of regression

xj’s = explanatory variables

4.3.2. Explanation of Variables:

The study takes “number of dimension in which an individual is deprived” as dependent

variable. To calculate the number of dimension in which an individual can be poor, Alkair foster

(2010) methodology helps to measure dimensions of poverty. Furthermore Ataguba et al (2013)

also used same technique to find dimensions in which an individual can be poor. Taseer and

Zaman (2013) use this technique to show time series breakdown in multidimensional poverty in

Pakistan. This methodology uses dual cut-offs to find dimension adjusted measure of poverty

and is better than other methodologies as it satisfy assumption of monotonicity and

decomposability.

To identify and measure multidimensional poverty, head-counts and dimension adjusted head

count rations are used. The dimension adjusted head count M0 can be calculated as:

where H0 is the proportion of people who are deprived in certain dimension and A is the mean

share of deprivation among the poor, M0 use as dependent variable in the model. Internationally

eleven dimensions has been selected to measure multidimensional poverty among household orThe
maximum likelihood poison multidimensional poverty equation can be:

∑(
)

X’s in above equation are the set of independent socio-economic variables which describe

individual’s characteristics. The full model therefore can be written as:

Where

δi = the expected number of dimension in which individual is poor

e = the base of natural logrithem

β0 = the intercept

βj’s = coefficient of regression

xj’s = explanatory variables

4.3.2. Explanation of Variables:

The study takes “number of dimension in which an individual is deprived” as dependent

variable. To calculate the number of dimension in which an individual can be poor, Alkair foster

(2010) methodology helps to measure dimensions of poverty. Furthermore Ataguba et al (2013)

also used same technique to find dimensions in which an individual can be poor. Taseer and

Zaman (2013) use this technique to show time series breakdown in multidimensional poverty in

Pakistan. This methodology uses dual cut-offs to find dimension adjusted measure of poverty

and is better than other methodologies as it satisfy assumption of monotonicity and

decomposability.

To identify and measure multidimensional poverty, head-counts and dimension adjusted head

count rations are used. The dimension adjusted head count M0 can be calculated as:

where H0 is the proportion of people who are deprived in certain dimension and A is the mean

share of deprivation among the poor, M0 use as dependent variable in the model. Internationally

eleven dimensions has been selected to measure multidimensional poverty among household orThe
maximum likelihood poison multidimensional poverty equation can be:
∑(

X’s in above equation are the set of independent socio-economic variables which describe

individual’s characteristics. The full model therefore can be written as:

Where

δi = the expected number of dimension in which individual is poor

e = the base of natural logrithem

β0 = the intercept

βj’s = coefficient of regression

xj’s = explanatory variables

4.3.2. Explanation of Variables:

The study takes “number of dimension in which an individual is deprived” as dependent

variable. To calculate the number of dimension in which an individual can be poor, Alkair foster

(2010) methodology helps to measure dimensions of poverty. Furthermore Ataguba et al (2013)

also used same technique to find dimensions in which an individual can be poor. Taseer and

Zaman (2013) use this technique to show time series breakdown in multidimensional poverty in

Pakistan. This methodology uses dual cut-offs to find dimension adjusted measure of poverty

and is better than other methodologies as it satisfy assumption of monotonicity and

decomposability.

To identify and measure multidimensional poverty, head-counts and dimension adjusted head

count rations are used. The dimension adjusted head count M0 can be calculated as:

where H0 is the proportion of people who are deprived in certain dimension and A is the mean

share of deprivation among the poor, M0 use as dependent variable in the model. Internationally
eleven dimensions has been selected to measure multidimensional poverty among household
orindividuals but in case of MICS dataset, it is only useful to calculate seven dimensions. These

include economic, housing, air quality, health, education, water & sanitation, assets. Detail

composition of these dimensions in given in annexure.

The contribution of human capital to poverty alleviation is proved by previous literature. The

development of human capital leads to an increase in standard of living at household level.

Communities with more low-skilled workers in general are more likely to experience high rates

of poverty. The educational attainment as measure of the quality of human capital is important,

High educational attainment may imply a greater set of employment opportunities which cause

to decrease poverty (Cameron, 2000; chaudhary et al, 2009). The availability of education

facilities serve as main indicator of remains poor. If the household have an accessibility of

school then there is a greater chance to get rid from poverty. Theory shows a fundamental

impact of health on households, it is considered that the accessibility to health services directly

influence the productivity of individual household (McDonough et al, 2009; Zhong, 2009).

Another indicator of housing standards is access to electricity. The housing indicators also affect

the standard of living of households. Employment is considered as an important factor to affect

poverty. The occupational affiliation of the head of household is found to be an important

determinant of poverty. . The empirical results suggested that the industry specific employment

is necessary for reducing poverty (increased per capita consumption and ultimately per capita

food consumption) (Sikander, 2009). The employment trend is defined by participation rate

which is the ratio of the number of workers to the number of adults in a household. The

participation rate is expected to be negatively correlated to poverty. Household income is an

important determinant of household expenditure since it serves as the budget constraints to the

amount that can be spent within a period, there is also bound to be correlation between income

and poverty level of a household, all other things being equal. The household income is also

important to define the poor and non-poor households for further analysis. In economic

perspective, to judge, the standard of living of households, the household Property and Assets

which contains the land, livestock and other accessories of life is also play role to determine the

poverty level among households.


As this paper is more concerned with relative poverty related with socio-economic inclusion,

capability etc. Therefore this study also uses some indices based on socio-economic

characteristics of individual and household from where s/he belongs developed by Wagle (2005) The
integration of different theories would develop a realistic picture of poverty. This study uses

different dimension of poverty as explanatory variable i.e. economic inclusion, social wellbeing,

capabilities and environmental wellbeing. The index of economic inclusion is developed with

the help of different variables which affect an individual in his economic life. Theories suggest a

strong link between employment type, access to finance and occupation with standard of living

(Athinkson 1999, Wagle, 2005). The employment in executive and professional fields,

employment in other fields, income, wealth and employment of HHH’s partner are some of

indicators which are important for economic inclusion of a person. Theory suggests that social

wellbeing can be measured by housing condition, electricity, access to safe drinking water,

access to secure housing tenure, type of toilet facility, type of cooking fuel and type of assets etc.

The index of social wellbeing helps to predict the contribution of this index in the poverty status

of household. The approach to measure capabilities of household to earn and to make its standard

of living better proves to be important for poverty analysis. Previous literature support that

educational achievement, health status, gender related discrimination within households,

household head health and access to health facilities as indicators of capability.(Sen, 1992,

UNDP, 2000, Wagle, 2005, Alkair, 2007). Finally, the index of environmental wellbeing also

plays an important role in determining the level of poverty among urban household, this index

include such indicators which directly affect the health of household, the access of safe water,

proper sanitation and solid waste disposal facilities can be considered some important aspects of

environment condition. All indices are calculated with the help of principle component analysis.

4.3.3. Marginal population in various poverty bands

The estimation of poverty line is very helpful to define various bands of poverty such as

extremely poor, ultra poor, non-poor etc. (Economic Survey of Pakistan 2007). Population which

consumes less than 50% income of poverty line categorize as extremely poor, whereas

population which lies between income groups (more than 25% of poverty line income) is

considered as non-poor.
Table 4.1: Marginal population in various poverty bands

2007-08 2011-12Income based poverty line

($1.5 per day)

Food consumption

based poverty (Rs.

1668)3

Extremely Poor > 50% 40.8 94

Ultra Poor 50% <X>75% 30.0 4.1

Poor 75% <X>100% 11.0 1.2

vulnerable 100% <X>125% 5.8 0.3

Non poor 125% <X 6.8 0.4

Around 70% of total population live within extremely poor and ultra-poor and only 6.8% of

marginal class live out of poverty in 2007 while in 2011 the poverty line is based on expenditure

approach, where 94% population live in extreme poverty.

4.3.4. Poisson Regression Analysis and Results

The results from poison regression analysis is presented in table 4.2, the study use four models

(two for each data set) to prove hypothesis. Theory suggest a chain of marginality, social

exclusion and poverty, therefore model 1 of each dataset shows results which includes

marginality as explanatory variable, while model 2 contains all other variable of model one and

use social exclusion index as independent variable to prove the theoretical link. We found that

coefficient has correct signs as defined in theory except some minor contradictions.

Table 4.2: Poisson Regression Output (2007-08)

Dependent Variable: poverty counts

Model 1 Model 2

Coefficient Standard Error Coefficient Standard Error

Income -.000261*** 0.000157 -.000259*** .000157

Poor Health .00362 .01121 .001378 .011224

No Education (reference)

Pre-primary -.238136*** .019691 -.22552*** .01975


Primary -.254944*** .008643 -.23253*** .009776

Middle -.26673*** .0107994 -.237417*** .012318

Planning Commission of Pakistan, 2011Matric -.292634*** .022817 -.25584*** .023737

Higher -.292006*** .0278123 -.25359*** .028669

Madrassa -.316337*** .0978124 -.28196*** .098035

Poor Housing Condition .11037*** .00729 .11064*** .00729

Occupation -.00135*** .000102 -.00130 .000104

Assets -.21986** .09553 -..19139** ..095745

Capability -.315201*** ..035955 -.26964*** .036493

Environment wellbeing .26406*** .03086 .26964*** .03087

Social wellbeing -.71456*** .096468 -.724314*** .096684

Economic wellbeing -.55788*** .072224 -..632038*** .070282

Marginality index -.03103** .007036 - -

Social exclusion index - - .02941 .00722

Log likelihood

Pseudo R2

LR χ2 (12)

Prob > χ2

-50127.518

.0239

2457.01

0.0000

-50129

.0239

2454.04

0.0000

Results shows that income has a negative impact on the proportion of dimension in which
household can be poor, increase in income level will reduce poverty threats by .02%

(e0.0002=1.00), keeping all other variable constant. The coefficient is significant at 1%. This also

proves the importance of multidimensional poverty that income has contributory role if defining

a person poor but not has a unique role. While occupation of an individual also plays a negative

impact on the possibility to be poor and can draw him out from poverty, individual who has good

mean of earning than an individual with no or odd job has lesser threat of poverty by 13%

(e.0013= ) at 1% level of significance. As well as education of individual is concerned, compared

to those individuals who are illiterate, people having incomplete primary education, threat of

poverty lower by 23% (e0.2381 = 1.269), compared to not being literate, people having primary

education is found to be at minimal threat of poverty by 25% (e 0.2549 = 1.290 ) again assuming

all other variable constant. for those persons, who have matric and higher education has a lesser

threat to be poor by 29% (e 0.2926 = 1.339). As well as housing conition is concerned, the variable

reported those individual who have poor housing condition, the result shows a positiverelationship of
both variable, compared to people living in better housing, the threat to be poor

for those individual living in poor housing is increased by 11%(e 0.1103 = 1.116). The coefficient

of housing is significant at 1%. An individual who has good amount of assets is also better off as

compared to individual with no assets, the possibility to be poor for that individual is lower by

21% (e 0.2198 = 1.245) while holding all other variable constant. Capability to be better off has

also strongly affect the status of poverty of an individual, a person with good capabilities has a

31% (e0.3152

= 1.530 ) less chances to be in multidimensional poverty than a person with no

capabilities. Economic inclusion also lower the risk of poverty, an individual who has greater

inclusion in economic activities has 55% (e 0.5578 = 1.746) chances of deprivation in different

dimension that a person with no economic inclusion. Similar with social wellbeing, person with

greater social and civic services has less chances of deprivation than a person with no social and

civic services. The coefficient is significant at 1% level. Model 2 has almost same results with

same nature of relationship.

Table 4.3: Poisson Regression Output (2011-12)

Dependent Variable: poverty counts


Model 1 Model 2

Coefficient Standard Error Coefficient Standard Error

Food Exp -.00035** .000151 .000346** .000513

Poor Health .28101*** .050004 .26754*** .04996

No Education

(reference)

Pre-primary .241633*** .05386 .244616*** .053865

Primary .225908*** .00840 .231517*** .008779

Middle -.03337** .01031 -.03517** .011005

Matric -.045371*** .00970 -.028226** .010339

Higher -.04938*** .00677 -.028919** .01123

Poor Housing

Condition

.04979** .016667 .03649** .01650

Occupation .000184 .000239 .000205 .000239

Assets -2.3437*** .161364 -2.4809*** .16043Capability -.173256** .069413 -.151884** .06940

Social wellbeing 3.6445*** .12478 3.7985*** .12019

Economic

inclusion

-.163873*** .022886 -.10671*** .01974

Marginality

index

.035296*** .006772 - -

Social exclusion

index

- - .01079** .00513

Log likelihood

Pseudo R2

LR χ2 (12)
Prob > χ2

-58456

.019

2275.35

0.0000

-58468.287

.0189

2252.63

0.0000

Results of Poisson regression of 2011-12 data wave had only expenditure data while income

aspect of household has been ignored. Therefore above table has two variables missing due to

non-availability of data, one is income of an individual and the other is environmental wellbeing

while one variable is additional i.e. expenditures. According to results, expenditure has

negatively affect the risk to be in poverty, increase in expenditure will down deprivation by .03%

(e0.0003=1.00), keeping all other variable constant. The coefficient is significant at 5%. As well as

education of individual is concerned, compared to those individuals who are illiterate, people

having incomplete primary education, threat of poverty increase by 24% (e0.2416 = 1.269),

compared to not being literate, people having middle level education is found to be at minimal

threat of poverty by 3% (e 0.0333 = 1.034 ) again assuming all other variable constant. for those

persons, who have matric and higher education has a lesser threat to be poor by 5% (e 0.0497

1.051). As well as housing condition is concerned, the variable reported those individual who

have poor housing condition, the result shows a positive relationship of both variable, compared

to people living in better housing, the threat to be poor for those individual living in poor housing

is increased by 5%(e 0.0497 = 1.051). The coefficient of housing is significant at 5%. Capability to

be better off has also strongly affect the status of poverty of an individual, a person with good

capabilities has a 17% (e 0.1732 = 1.189) less chances to be in multidimensional poverty than a

person with no capabilities. Economic inclusion also lower the risk of poverty, an individual whohas
greater inclusion in economic activities has 16% (e 0.1638 = 1.178) chances of deprivation in
different dimension that a person with no economic inclusion. Similar with marginality index

and social exclusion index, person with higher marginality and social exclusion has high threat

tobe poor in different dimensions than a person who is not at marginal position and not socially

excluded. Model 2 of this wave also shows similar results with same nature of relationship.

The results showing almost significant relationship with relationship with poverty perceived in

theory expect some of variable which shows opposite results. Above results shows a picture of

poverty in two time period i.e. 2007-08 and 2011-12 respectively, increase in income and

expenditure making an individual better off and reduce chances to be in poverty. An individual

with high income and good nutrition can access living facilities well and can be more productive

than a person with less food consumption (Headey, 2008), result also shows a negative and

significant impact of income and expenditure on deprivation and poverty in both waves. Wealth

of an individual also includes type and number of assets which an individual have, therefore the

state of poverty is strongly depends upon the asset ownership of an individual or household

(Moser, 1998, 2006). Results shows a negative, strong and significant relationship of assets

ownership on risk of multidimensional poverty, a person with good assets has lower chances to

be poor in different dimension than a person with no assets. Same relationship is proved by

Meck & Lansley (1985) and Milton (2003), where lack of assets make a person more poor.

Liverpool and Alex (2010) shows a positive impact of asset building on consumption

expenditure.

Another important determinant of poverty is education which is proved by results from both

waves. To make a detail analysis, we split education into different levels and compare risk to be

poor with illiterate person. The higher education lower chances of poverty, Haroon (2009) shows

a positive impact of education on expenditures of household, Dewilde (2004) proves that with

increase in educational attainment, the risk of poverty has been reduced, he tested this theory

both on uni-dimensional and multidimensional poverty risk, results also reflect theoretical base,

first wave supports the attainment in education lower the chances for household to be poor, all

results are significant at 1% level, while second wave (2011-12) shows a positive relation of

education attainment till primary level with poverty risk for an individual, while education

attainment (above primary and onward) will lower risk of poverty significantly. Jhon et al (2013)
also found a positive impact of education attainment till primary on multidimensional povertycounts,
similarly Dewilde (2004) also found greater proportion of population with higher

education within poverty. Narrayan et al (2000) and Meck & Lansley (1985) also highlight

assets, income and education as important determinants of poverty.

Alkire (2008) gives high importance to housing condition as it plays very important role in

defining multidimensional poor. If a person living in poor housing, his chances of living in

poverty is greater, poor housing will reduce chances of having good living facilities, relax life

style and productive socio-economic contribution (Taseer and Zaman, 2013). Results support

theory and prove a significant impact of poor housing on chances to be remain in poverty. As

well as health of an individual is concerned, in case of first wave, results are insignificant and

positive toward risk of poverty, while second wave shows highly significant and positive

relationship of poor health of a person.

Sen (1992) approach of capability was define as a transformed area of poverty research, further

OPHI measure by Alkier and Foster (2008) also focused on this dimension. She gave due

importance to capabilities in definition of multidimensional poverty measurement. Results show

a negative relation between capabilities and to be in risk of poverty. The improvement in

capability will reduce the chances of poverty. Wagle (2005) also proves a negative relation

between poverty and capability improvement. Similarly index of environment wellbeing has a

negative impact on poverty and environmental up gradation ensure a betterment in standard of

living of an individual. There is a significant contribution of environment hazards in urban

poverty, degradation of renewable resources i.e. fresh water and poor mean of waste

management lead toward poor standard of living (Satterthwait, 2003). The index of social

wellbeing also shows expected relation and negatively affect the risk of poverty, an individual

who is socially empower has less chances to capture in the trap of poverty then a socially

deprived person.

The relationship between marginality and poverty shows different results in two waves, during

2007-08, relationship shows a negative relationship, here one thing which should be consider

while explaining this relationship is marginality index is in form of least to most marginal, the

increase in value of marginality index shows high marginalization of specific individual,


therefore if we assume marginality leads to poverty then the expected relationship between

dependent variable and marginality index is positive which exist in 2001-12 data results, however
according to Franz et al (2011), it is not necessary that a marginalized person is poor or

a poor is marginalized, however both are interlinked, therefore results support the theory

presented by Franzs et al (2011) that in 2007-08, a negative relationship between marginality

index and poverty counts is reported, however in second wave relationship is positive and

increase in marginality would cause an increase in poverty counts. According to (Sen, 2000), the

concept of social exclusion takes into account as a root cause of poverty. The composition of

social exclusion index is similar as composition of marginality index, higher value shows higher

exclusion or vice versa. Both data results show a positive and significant relationship between

social exclusion and poverty counts. An increase in social exclusion would cause ultimate

poverty in different dimension of socially excluded person.

4.4. Conclusion

The study tried to analyze the determinants of poverty among marginalized population of urban

Punjab. For this purpose, two waves of Multiple Indicator Cluster survey (MICS) of the year

2007-08 and 2011-12 has been used. Among a sample set of more than two hundred thousand,

around 96000 were reported as marginalized based on marginality index, and 33629 were drawn

as socially excluded from marginal group, rest of population is considered as marginal but not

socially excluded.

Results verify hypothesis and question that marginality becomes a root cause of extreme poverty.

As well as multidimensional poverty of this marginal class in concerned, then population with no

education or low level of education is highly poor in multidimensional way, the extent of

economic inclusion, social betterment, capability improvement also positively affect an

individual and his poverty count is reduced with the betterment of above mentioned indicators.

Overall results confirm objective and research question that marginality cause poverty.

On the determinants side, the income support programs cannot break the vicious circle of

poverty until and unless policy focus convert toward the determinants of poverty. Along with

education, health and housing, the role of capabilities, environment, exclusion and marginality

cant be ignored. There is a strong link of these variables with poverty. Therefore a need to focus
on these determinants is important and despite of providing them income, skills, education and

other related factors should be focus of policy. Marginality and social exclusion may be a new

concept of poverty for policy making, but we can’t deny this fact that in Pakistan, the focus ofpoverty
reduction strategies is on curative measures, not on preventive measures. Therefore those

factors which exclude a household or individual from community is not at target of policy

makers.

This study is a basic attempt to highlight the poverty among marginalized and socially excluded

people of the province Punjab and also analyze the determinants of their poverty structure.

However the lack of appropriate dataset and some indicators is the main problem which we faced

while compiling analysis empirically. This exercise with the help of some national level surveys

can be possible at country level. Countries are going to treat marginal communities separately to

make specific policies of the benefits but in Pakistan very few literature found in related subject

but no dataset exist which could cover issues of marginal community specifically. A need to

target marginal class and their problem though survey and research is vibrant.

A new diverted focus of policy should be on the treatment of poverty among disadvantaged

class. The separate survey to target marginalized communities is not possible but a possibility to

include this dimension in some national and provincial level data set can fulfill the purpose.

These people have a different nature of issues in their social, economic and cultural lives which

is related with service delivery despite of providing them infrastructure. The monitoring and

evaluation system by using GIS techniques and online servers can reduce the threat of social

exclusion in Punjab as well as in Pakistan. POVERTY AND social exclusion continue to pose major
challenges to governments across

the world. As has been noted in the context of poverty, it is a global phenomenon which

affects all states to different extents and is not confined to the developing world.1

Both

conditions relate to the denial of or absence of resources, opportunities, or rights, which

affects participation in society on equal terms with others, with at times, affected persons

being in a situation where even basic needs for survival are denied or cannot be accessed. The

World Conference on Human Rights in 1993 affirmed that, “extreme poverty and social
exclusion constitute a violation of human dignity”.2

In this light, both conditions can be seen

as impacting the right to life of affected persons or groups, as far as life is understood as life

with dignity.

As the Eleventh Five Year Plan document noted in the context of India, there have been a

number of positive developments as concerns economic growth, investor perception, etc., but

at the same time, a “major weakness” of the economy is that “growth is not perceived as

being sufficiently inclusive for many groups, especially Scheduled Castes (SCs), Scheduled

Ph.D. Scholar, Indian Law Institute, New Delhi.

Committee on Economic, Social and Cultural Rights, “Substantive Issues Arising in the Implementation
of the

International Covenant on Economic, Social and Cultural Rights: Poverty and the International Covenant
on

Economic, Social and Cultural Rights: Statement Adopted by the Committee on Economic, Social and
Cultural

Rights, E/C.12/2001/10 (4 May 2001), para 5.

2Vienna Declaration and Programme of Action 1993, para 25, available at:

http://www.ohchr.org/EN/ProfessionalInterest/Pages/Vienna.aspx (last visited on Sep. 12, 2015). Tribes


(STs) and Minorities”.3

Similarly, although the incidence of poverty is reducing in

percentage terms, a large number of persons still continue to be poor.4

In other words, growth

in economic terms may not necessarily be inclusive or of itself reduce poverty significantly.

Social exclusion and poverty are not identical but can be said to have certain common

elements such as exclusion from or denial of access to resources and opportunities, both

constituting a violation of dignity, and imposing constraints under which human rights cannot

be enjoyed in the same manner as by others in society. They have also been seen to impact
each other as causes or vulnerability factors.

This paper seeks to look into these issues from the point of view of human rights and

attempts to explore the role of a human rights framework in addressing the issues of social

exclusion and poverty. The first and second sections look into the concepts of social

exclusion and poverty, respectively, particularly in the context of human rights. The third

section focuses on the relationship between social exclusion and poverty, attempts to

highlight commonalities and differences, as well as to show how these phenomena impact on

each other. As both poverty and social exclusion are related concepts and are also concerned

with the denial of rights, the final section considers the role that a comprehensive human

rights framework can play towards addressing these issues.

Social exclusion

Social exclusion, as the name suggests relates to exclusion from mainstream society. Social

exclusion or “being ‘set apart’ or excluded from resources or opportunities confers

disadvantage on certain groups”.5

The term owes its origin to France, where it was first used

in the mid 1970s in the context of individuals unable to access welfare entitlements.6

The term, however, does not have a universal or generally accepted definition, with different

commentators and institutions defining the term differently. As Deshpande notes, while the

literal meaning of the concept of social exclusion may be easy to grasp, “its operational

meaning is hard to capture”.7

Social exclusion has been defined in terms of violation or denial of rights, centring on,

though not limited to social rights. As defined by India in an ILO country case study, it is

“the denial of the basic welfare rights which provide citizens positive freedom to participate

in the social and economic life, and which thereby render meaningful their fundamental

Planning Commission of India, 11th Five Year Plan (2007-2012), Ch. 1: Inclusive Growth 1(Planning

Commission, Government of India).


4

For instance, as noted in the Twelfth Plan Document, rural poverty between the years 2004–05 to
2009–10

(head count ratio) reduced from 41.79 to 33.8 and urban poverty from 25.68 to 20.9. See, Planning
Commission,

Twelfth Five Year Plan (2012–2017), III Social Sectors 221 (Sage Publications, New Delhi, 2013).

5Ashwini Deshpande, “Exclusion and Inclusive Growth” 3 (UNDP, 2013), available at:

http://www.in.undp.org/content/dam/india/docs/human-development/exclusion-and-inclusive-
growth.pdf (last

visited on Sep. 11, 2015). As Kansra observes, “[t]he process of social exclusion is directly concerned
with the

marginalized groups excluded by mainstream society from fully participating in social and political life”.
Deepa

Kansra, Contemporary Democratic Theory: A Critique of the Status of Rights, Governance, and

Constitutionalism”, unpublished Ph.D Thesis, (Jamia Milia Islamia, New Delhi, 2010).

Kathy Arthurson, “Editorial”, 39 (1) Australian Journal of Social Issues 3 (2004).

Deshpande, supra note 5 at 1. negative freedoms”.8

Similarly, the definition by Russia in its country study also takes

account of social rights. It states: 9

[S]ocial exclusion is both an objective and a subjective feature of people’s rights.

As an objective condition, it is characterized by material deprivation and

infringement of social rights (including rights related to employment for the

employed and unemployed). As a subjective feeling, it is characterized by a sense

of social inferiority in the community or a loss of prior social status.

Another commentator, Landman “argues that social exclusion is a form of rights violation if

systematic disproportionality of treatment of people across social, economic, and political

spheres can be demonstrated”, and “human rights deficits can increase people’s vulnerability

to exclusion”.10 Thus, Landman views inequalities or gaps between groups as a feature of


exclusion which makes it a rights violation, and absence of full enjoyment of rights as a

vulnerability factor, rather than as causing exclusion of itself, unlike, for instance, India’s

definition in its country study wherein the denial of social rights itself (which affects

participation and enjoyment of other rights) constitutes exclusion. However, it would be also

be important to note, as Kansra observes, that “ironically, the fact of social exclusion exists

and grows within the established rights framework of the state”.11 In other words, while

social exclusion relates to violations of social rights and also to the exercise of “negative”

rights, it also exists within a system of rights, which fact would be important to bear in mind

when considering solutions.12

Levitas, in their study on a multi-dimensional analysis of social exclusion develop the

following working definition: 13

Social exclusion is a complex and multi-dimensional process. It involves the

lack or denial of resources, rights, goods and services, and the inability to

participate in the normal relationships and activities, available to the majority

of people in society, whether in economic, social, cultural or political arenas.

It affects both the quality of life of individuals and the equity and cohesion of

society as a whole.

Jehoel- Gijsbers and Vrooman set out a conceptual framework for social exclusion, also

treating it as a multidimensional phenomenon, which includes four elements, namely,

material deprivation and inadequate access to government and semi-government provisions

(social rights), which together comprise “economic or structural exclusion”, and insufficient

social integration and insufficient cultural integration comprising “socio-cultural

Jane Matheison, Jennie Popay, Etheline Enoch, Sarah Escorel, Mario Hernandez, Heidi Johnston, and
Laetitia

Rispel, “Social Exclusion: Meaning, Measurement, and Experiences and Links to Health Inequalities: A
Review

of Literature”, WHO Social Exclusion Knowledge Network Background Paper 1 88(SEKH, Commission on
Social Determinants, Lancaster University, 2008), available at:

http://www.who.int/social_determinants/media/sekn_meaning_measurement_experience_2008.pdf.p
df (last

visited on Sep. 15, 2015).

Ibid.

10 Matheison , id. at 16.

11 Kansra, supra note 5.

12 Ibid.

13 Ruth Levitas, Christina Pantazis, Eldin Fahmy, David Gordon, Eva Lloyd, and Demi Patsois, “The Multi-

Dimensional Analysis of Social Exclusion” 25 (University of Bristol, January 2007), available at:

http://dera.ioe.ac.uk/6853/1/multidimensional.pdf (last visited on Sep. 17, 2015). Poverty as a human


rights issue

While poverty is commonly understood in terms of lack of income or resources, which is

indeed an important dimension of this concept, it has long been seen as a much wider

concept. In Amartya Sen’s words: 24

…the characterization of poverty as simply shortage of income...is...still fairly

common in the established literature on deprivation or destitution. This view,

which is rather far removed from the relational notion of social exclusion, is not,

however, entirely without merit, since income—properly defined—has an

enormous influence on the kind of lives we can lead.

Even Aristotle, Sen notes, viewed an “impoverished life” as “one without the freedom to

undertake important activities that a person has reason to choose”.25 Elsewhere, he writes,

“poverty can sensibly be defined in terms of capability deprivation; the approach concentrates

on deprivations that are intrinsically important (unlike low income, which is only

instrumentally significant)”.26 The Committee on Economic, Social and Cultural Rights under

the (ICESCR) endorses a broad and multi-dimensional definition of the term, which in its

view, “reflects the indivisible and interdependent nature of all human rights”: Poverty is “a

human condition, characterized by sustained or chronic deprivation of resources, capabilities,


choices, security and power necessary for the enjoyment of an adequate standard of living

and other civil, cultural, economic, social and political rights”.27

Poverty is also seen not only in terms of deprivation of resources or capabilities but also in

terms of human rights. As a United Nations Development Programme (UNDP) practice note

points out, “the definition of poverty is steadily moving towards a human rights-based vision

highlighting its underlying multitude of causes”.28 In fact, according CESCR, the Universal

Declaration of Human Rights (UDHR) as far back as in 1948 “established that poverty is a

human rights issue”.29 From the point of view of human rights, poverty represents a condition

where human rights are denied to people, particularly, those rights that are classed as

“economic and social rights” as they lack even what is necessary for their very survival or

meeting basic needs. The CESCR has in fact, categorically observed, that “poverty

constitutes a denial of human rights”.30 In fact, as has been noted, poverty can be seen as both

a cause and effect of human rights violations, as the denial of economic and social rights not

22 Jehoel-Gijsbers and Vrooman, supra note 14 at 15.

23 Matheison, supra note 8 at 16.

24 Amartya Sen, “Social Exclusion: Concept, Application, and Scrutiny”, Social Development Papers No. 1

3(Asian Development Bank, Philippines, 2000).

25 Ibid.

26 Amartya Sen, Development as Freedom 87 (Oxford University Press, New Delhi, 2000).

27 Supra note 1 at para 8.

28 UNDP, “Poverty Reduction and Human Rights: A Practice Note” 2 (June, 2003), available at:

http://www.undp.org/content/dam/aplaws/publication/en/publications/democratic-governance/dg-
publications-

for-website/poverty-reduction-and-human-rights-practice-note/HRPN_(poverty)En.pdf (last visited on


Sep. 14,

2015).

29 Supra note 1 at para 1. only is a root cause of poverty, it also reinforces the “vicious cycle” of
poverty.31 The Vienna
Declaration and Programme of Action considers poverty as preventing the enjoyment of

rights noting, “[t]he existence of widespread extreme poverty inhibits the full and effective

enjoyment of human rights...”32 These observations thus identify three ways in which poverty

is seen as related to human rights, as a violation of human rights of itself; as a cause and

consequence of rights violations; and as an impediment to the full enjoyment of human

rights.

One important aspect in the issue of poverty, as mentioned, is lack of access to basic needs.

Professor Pogge notes human beings need access to safe food and water, clothing, shelter,

and basic medical care in order to live and people in poverty lack access to sufficient

quantities of these basic necessities.33 However, as he also observes, “most of the current and

mass under-fulfilment of human rights is more or less connected with poverty”, and while the

connection is direct in the case of social and economic rights, it is more indirect as regards

civil and political rights.34 Thus, while poverty can be viewed in terms of lack of access to

economic and social rights, it is not necessarily only these rights that they impact. Those in

poverty “are often excluded from participating meaningfully in the political process and

seeking justice for violations of their human rights”.35 The Human Development Report of

2000 “conveyed the central message that poverty is an infringement on freedom and that the

elimination of poverty should be addressed as a basic entitlement and a human right—not

merely as an act of charity”.36

Social exclusion and poverty: How are they related?

As social exclusion is concerned with, though not restricted to, deprivation of material

resources, and violations of social or welfare rights, it can also be seen as relating to the

phenomenon of poverty, which as discussed in the previous section is also concerned with the

absence of sufficient resources, the violation of human rights, including in particular basic

needs which fall within the realm of social rights. It would be useful here again to refer to

Deshpande who notes that a distinction between social exclusion and concepts like poverty or

inequality is that while the former is a group phenomenon, the latter is individual but the

distinction may not be as watertight as it might appear at first sight.37 Another distinction
highlighted between the two is that while poverty emphasizes material as well as social

deprivation, social exclusion underscores the ability of a person or group to participate in

31 B.C. Nirmal, “Poverty and Human Rights: An Indian Context”, 46 Indian Journal of International Law
187

(2006). As illustrated on the website of the Special Rapporteur on Extreme Poverty and Human Rights,
extreme

poverty can be a cause of human rights violations, such as extremely poor people being forced to work
in

unhealthy working conditions, or a consequence, such as children being unable to escape poverty
because of

lack of adequate state provisions for education. See, website of “Special Rapporteur on Extreme Poverty
and

Human Rights”, http://www.ohchr.org/EN/Issues/Poverty/Pages/SRExtremePovertyIndex.aspx (last


visited on

Sep. 17, 2015).

32 Vienna Declaration and Programme of Action 1993, supra note 2 at para 14.

33 Thomas Pogge, “Severe Poverty as a Human Rights Violation” (2003), available at:

http://www.etikk.no/globaljustice/papers/GJ2003_Thomas_Pogge_Severe_Poverty_as_a_Human_Right
s_Violat

ion.doc (last visited on Oct. 11, 2008).

34 Thomas Pogge, “Poverty and Human Rights”, available at:

http://www2.ohchr.org/english/issues/poverty/expert/docs/Thomas_Pogge_Summary.pdf (last visited


on Oct.

12, 2008).

35 See, website of “Special Rapporteur on Extreme Poverty and Human Rights”, supra note 31.

36 UNDP, supra note 28 at 2.

37 Deshpande, supra note 5 atsocial, economic, political and cultural life.38 It has also been observed
that while poverty

may include deficiencies other than financial shortages, the reason behind them is essentially

financial while social exclusion may also result due to factors such as illness, old age, etc.,

without financial poverty.39


For the Independent Expert on Human Rights and Extreme Poverty, social exclusion is an

element of both “capability poverty” as defined by Sen, and “extreme poverty” which

“considers poverty as a denial of human rights”.40

The relationship between poverty and social exclusion is a reciprocal one. Poverty is seen as

a result of social exclusion or exclusion as a vulnerability factor leading to poverty, while

poverty in turn may result in or create vulnerability to social exclusion. For instance, a DFID

paper points out that social exclusion denies people the same rights and opportunities as

afforded to others in their society, and that it causes poverty of particular people leading to

higher rates of poverty among affected groups, besides “increas[ing] the level of economic

inequality in society, which reduces the poverty reducing impact of a given growth rate”.41 It

explains “why some groups of people remain poorer than others, have less food, are less

economically and politically involved, and less likely to benefit from services” making it

difficult for the Millennium Development Goals to be achieved, besides also being a leading

cause of conflict and insecurity.42 The United Nations Office of the High Commissioner for

Human Rights (OHCHR) has also argued that both poverty and exclusion may result from

each other: “Socially and politically excluded people are more likely to become poor and the

poor are more vulnerable to social exclusion and political mobilization”.43 Estivill notes that

poverty and social exclusion are not equivalent or synonymous but sees them as

complementary and relative, with those affected by one or the other being identified as poor

or excluded according to a number of standards defining material well-being and the degree

of hierarchical division in each society.44 A number of considerations relating to exclusion

are also valid in the case of poverty.45 Hirsch sees the process as cyclical with poverty being a

38 “Social Exclusion”, available at: http://www.poverty.ac.uk/definitions-poverty/social-exclusion (last


visited

on Sep. 17, 2015).

39 Jehoel-Gijsbers and Vrooman, supra note 14 at 14–15.

40 Arjun Sengupta, “Promotion and Protection of all Human Rights, Civil, Political, Economic, Social and

Cultural Rights including the Right to Development”, (Human Rights Council Feb. 28, 2008), paras 39–40,
available at: http://daccess-dds-ny.un.org/doc/UNDOC/GEN/G08/111/56/PDF/G0811156.pdf?
OpenElement

(last visited on Sep. 17, 2015).

41 DFID, “Reducing Poverty by Tackling Social Exclusion: A DFID Policy Paper” 5-6 (Glasgow: DFID 2005).

42 Id. at 6.

43 UN Office of the High Commissioner for Human Rights, “A Human Rights Approach to Poverty
Reduction

Strategies” 48 (OHCHR 2002).

44 Jordi Estivill, “Concepts and Strategies for Combating Social Exclusion: An Overview” (International
Labour

Office, ILO, 2003). Hirsch similarly argues that poverty and social exclusion cannot be resolved in
isolation

noting that people in poverty find it difficult to participate in society as they lack resources to do so and

conversely, lack of participation exacerbates poverty, for instance, directly in the form of exclusion from
paid

work or indirectly by exclusion from social networks that help people improve their lives. Donald Hirsch,

“Where Poverty Intersects with Social Exclusion: Evidence and Features of Solutions” 4 (York: Joseph

Rowntree Foundation, September 2006), available at :

http://www.wlmhtrecoverycollege.co.uk/download/Social%20Inclusion/Where%20poverty
%20intersects%20wi

th%20social%20exclusion%20Evidence%20and%20features%20of%20solutions.pdf (last visited on


Sep.17,

2015).

45 Estivill, ibid. Another study similarly notes that poverty has a profound effect on some aspects of
social

exclusion though not all, and that there are other causal factors as concerns social exclusion; for
instance age,

disability, gender, etc. “Social Exclusion”, supra note 38. However, these factors too can be seen as

vulnerability factors for poverty. For instance, a Report of the Independent Expert on the Question of
HumanThe role of a comprehensive human rights framework

As discussed in the previous sections, both poverty and social exclusion are concerned with

human rights, and are situations where those experiencing poverty or exclusion are unable to
enjoy or are denied their human rights, both economic and social, as well as civil and

political. Moreover, though much debated, there are ample views that highlight the links

Rights and Extreme Poverty notes, “[g]ender inequality causes and perpetuates poverty”. Report of the

Independent Expert on the Question of Human Rights and Extreme Poverty, UN General Assembly,
A/65/259,

“Human Rights and Extreme Poverty, Note by Secretary General (August 2010), para 49, available at:

http://daccess-ods.un.org/TMP/6910952.92568207.html (accessed September 12, 2015).

46 Hirsch, supra note 44 at 9.

47 Philip Lynch, “Homelessness, Human Rights, and Social Inclusion”, 30 (3) Alternative Law Journal 116,
117

(June 2005).

48 Ibid.

49 Jehoel-Gijsbers and Vrooman, supra note 14 at 13–14. between poverty and social exclusion. Many
have thus recommended the protection of

human rights as part of the strategy to address poverty and social exclusion.50

A human rights-based approach to poverty reduction forms part of the recommendations of

the UN Office of the High Commissioner for Human Rights. They highlight that a human

rights-based approach to poverty reduction inter alia, provides a deeper understanding of the

causes and consequences of poverty; broadens the scope of poverty reduction strategies to

address the structures of discrimination that generate and deepen poverty; strengthens civil

and political rights as they can play an instrumental role in addressing the cause of poverty;

and confirms that economic and social rights are binding obligations, not just programmatic

aspirations.51 This approach is dynamic, leaving scope for “tailoring it to a specified

context”.52 In this context, it is important to take note of the fact that enjoyment of one right

is indivisibly linked to others, for instance the right to health is linked to basic needs such as

food and water, as well as a clean environment, as also to information and education, and in

turn impacts the right to livelihood and other rights.53 Further, the principles of equality and

non-discrimination, participation and inclusion are of importance.54 In other words, this


approach highlights the importance of both social rights and civil and political rights.

The role of a human rights-based approach can be important in this regard as it “works from

the position that international human rights standards place an obligation and duty on

governments to ensure that their plans, policies and processes promote these rights”, and is

based on principles of legitimacy, accountability and transparency, empowerment, and

equality, non-discrimination and attention to vulnerable groups.55 The aspect of binding

obligations that a human rights framework imposes also finds mention in the report of the

independent expert on extreme poverty and human rights, who observes that “there is a

significant value added to invoking a human rights framework in policies to eradicate

poverty” as basic human rights are seen as “valuable objectives” that all human beings are

entitled to; and as one, considering poverty as a violation of human rights can mobilize public

action, which could significantly contribute to the adoption of appropriate policies; and two,

being binding obligations, governments would have to demonstrate that they have made their

best efforts towards adopting appropriate policies.56

Similarly others have also argued in favour of a comprehensive human rights framework to

address social exclusion and poverty, while highlighting specific areas of human rights which

50 For instance, one of the ways identified by DFID to address the challenges posed by social exclusion is

“increasing accountability to protect citizens’ basic rights”. DFID, supra note 41 at 9. Similarly, on
poverty, the

CESCR notes that while poverty is a multi-dimensional problem raising issues “not amenable to simple

solutions”, the international human rights framework can be applied to ensure that “essential elements
of anti-

poverty strategies, such as non-discrimination, equality, participation and accountability, receive the
attention

they deserve”. Committee on Economic, Social and Cultural Rights, supra note 1 at para 9. Again,
Matheison et

al. note that the “UNDP has been a strong advocate for a human rights-based approach to address social

exclusion”, and it has been argued that “translating social exclusion as the UN non-discrimination clause
enables the concept to be grounded in international law applicable to the majority of states and allows
the

necessary relationships between ‘duty bearers’ and ‘claim holders’ to be cultivated”. Matheison , supra
note 8 at

15.

51 UNDP, supra note 28 at 6.

52 Ibid.

53 Id. at 7.

54 Id. at 7–8.

55 EAPN, Ireland, A Handbook on using a Human-Rights Based Approach to Achieve Social Inclusion and

Equality”, 9 (EAPN, Ireland, December 2007).

56 Sengupta, supra note 40 at para 41. their view deserve particular attention. For instance, Castellino
sees the focus of human

rights mechanisms primarily on civil and political rights and not on “the full spectrum of

human rights”, which include economic and social rights, as making them “relatively

ineffective in addressing issues of social exclusion, empowering communities in socio-

economic terms, or making contributions to ending poverty”.57 In fact, for him this excessive

reliance on civil and political rights, at the expense of economic and social rights is a

shortcoming of the “prevailing approach to human rights”, in addition to other weaknesses

such as an overt focus on individual over collective rights; and inter alia, an over-emphasis on

states as the primary liable actors for human rights violations.58

In the same way, Yeates also argues in favour of viewing rights as interdependent and

indivisible and does not see ensuring social rights alone as the appropriate solution. She

concludes that social rights in themselves, although social exclusion is often defined in terms

of these rights, cannot be assumed to protect people against poverty and social exclusion, as

there is no clear-cut relationship between the provision of rights and well-being of people.59

She also points out that informal networks are important in dealing with social exclusion; that

rights can be exclusionary as well as integrative (though this does not imply that the concept

of rights should be rejected); that the standard of a right to an adequate standard of living can

be met without eliminating poverty; and that addressing social rights requires rights being
seen as universal and indivisible, besides the issue of equality or reducing differentials.60 She

thus argues that an anti-poverty strategy cannot be based on a “social rights of the poor”

approach and that it must embrace a citizenship perspective which involves social, political,

and civil rights.61 However, while a social rights approach by itself, may not be sufficient as

Yeates notes, due to lack of sufficient attention to social rights over the years, relegating them

to the position of “secondary” rights or even aspirations, Castellino’s argument for focussing

on social and economic rights becomes important.

A further dimension of human rights which has been referred to in the context of poverty

alleviation is that of the right to property. As Kansra notes, “[t]he security of property is

crucial to freedom, prosperity and realizing equality”, and access to land may contribute to

livelihoods for poorer households as well as poverty alleviation in the short and long-run.62 In

fact life, liberty, and property are the three basic “human” rights identified by philosophers

like Locke. She further notes, “[f]or a long time, the mainstream human-rights discourse has

been self-contradictory for proposing human rights as essential for freedom and prosperity,

without even committing to the protection of the right to property. Within the rights

57 Joshua Castellino, “Social Inclusion and Human Rights: Implications for 2030 and Beyond”,
Background

Paper for the High Level Panel of Eminent Persons on the Post-2015 Agenda 1 (Jan. 15, 2013), available
at:

http://unsdsn.org/wp-content/uploads/2014/02/130114-Social-Exclusion-and-Human-Rights-Paper-for-
HLP.pdf

(last visited on Sep. 11, 1015).

58 Id. at 2–3.

59 Nicola Yeates, “Social Exclusion, Social Rights, and Citizenship: The Contribution of a Social Rights

Perspective to Combating Poverty and Social Exclusion”, An Internal Discussion Document Prepared for
the

Combat Poverty Agency 11(1995), available at :

http://www.combatpoverty.ie/publications/SocialExclusionSocialRightsAndCitizenship_1995.pdf (last
visited
on Sep. 11, 2015).

60 Id. at 11–16.

61 Id. at 16.

62 Kansra, supra note 5.

Reference Labar, K., Bresson, F. (2011), “A multidimensional analysis of poverty in China from 1991 to

2006”,China Economic Review, Vol. 22.

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