3.1 Proportion of Deprivation in Each Indicator
The deprivation status of households in each of the MPI's fourteen indicators, irrespective of the weight they contribute to poverty status. It is calculated without applying the second cutoff criteria that were used to categorize a household as multidimensional poor or not. Figure 1 presents the deprivation status of each indicator allowing the researcher to see at a glance, the indicators with the highest and the lowest levels of deprivation.
As depicted in Figure 2, during the survey of this research; about 97.8% of households were deprived of cooking fuel, about 92.6% of households were deprived floor, and 76.1% of households have no access to safe drinking water or it may take 30 minutes to reach the source of drinking water. In contrary to Alkire and Foster (2011); Alkire & Kanagaratnam (2018), in this study, the household that used charcoal for cooking was considered as not deprived. This is the idea participants of group discussion agreed upon while revising and adding other indicators and dimensions according to their context. Almost all rural people used firewood for cooking purposes.
Those who use charcoal in their context are considered better-off households. Regarding the floor, participants informed us as cementing the floor is unaffordable unless a household has children transferred to Kenya. Concerning these key informants reported as to why they prefer to send their children to Kenya rather than teaching here in Ethiopia. Those households who have educated and employed children do not get any kind of support comparing to those who send to Kenya.
The next deprivation after the preceding deprivation was land with 67.1% respondent households. As it has known rural people relied on agricultural activities with a focus on land tilling. The research area was also the area where rural people depend on land farming activities than any other agricultural activities like animal husbandry. Despite the land shortage, 50.3% of households do not have even one member who completed grade eight. Therefore, their children are expected to engage in agriculture thereby further increasing the deprivation of land for the coming years since they are going to engage in agricultural activities for their livelihood. Otherwise, the fate of their children is migration to an urban area or abroad. The other deprivations which have above 50% of households were access to electricity (57.6%) and health service quality shares 66.0% of the respondent. The deprivation of year of schooling was 33.4%, livestock 43.5% health facility access 44%, and toilet 48.9% with the ascending order to deprivation. Meanwhile, other indicators with low deprivation percentages were child mortality at 13.8%, house property at 26.1%, and roof at 32.6% with ascending order. The indicator with the lowest deprivation is child mortality, with 13.8% of households in the area have at least loses one child in the last five years.
3.2. Incidence, Intensity, and Multidimensional Rural Poverty
The correlation between indicators was checked by using Spearman's rank correlation matrix. Table 2 depicted the correlation result between indicators. As can be seen from this table, all selected MPI indicators have less than 0.4 correlation coefficients. Spearman's Rho measure varies between -1 and 1, where -1 is for the strongest negative rank of correlation, 0 is when there is no rank correlation, and 1 is for the strongest positive rank correlation. Accordingly, correlation data analysis revealed that a weak to moderate positive and negative correlation exists among the 14 indicators.
Table 2: Spearman's correlation coefficient among MPI indicators
|
YS
|
SA
|
CM
|
HFA
|
HSQ
|
To
|
DW
|
Fl
|
Ro
|
AE
|
CF
|
HP
|
La
|
LS
|
YS
|
1.000
|
|
|
|
|
|
|
|
|
|
|
|
|
|
SA
|
.053
|
1.000
|
|
|
|
|
|
|
|
|
|
|
|
|
CM
|
.109
|
.120
|
1.000
|
|
|
|
|
|
|
|
|
|
|
|
HFA
|
.016
|
.045
|
.078
|
1.000
|
|
|
|
|
|
|
|
|
|
|
HSQ
|
.012
|
.092
|
-.048
|
.313
|
1.000
|
|
|
|
|
|
|
|
|
|
To
|
.008
|
.018
|
.026
|
-.119
|
.024
|
1.000
|
|
|
|
|
|
|
|
|
DW
|
.103
|
-.097
|
.069
|
.372
|
.144
|
.068
|
1.000
|
|
|
|
|
|
|
|
Fl
|
.143
|
.074
|
.072
|
-.031
|
-.009
|
.143
|
.064
|
1.000
|
|
|
|
|
|
|
Ro
|
.211
|
-.164
|
.015
|
-.026
|
.062
|
.112
|
.125
|
.133
|
1.000
|
|
|
|
|
|
AE
|
.131
|
.067
|
.066
|
.257
|
.146
|
.101
|
.190
|
.105
|
.379
|
1.000
|
|
|
|
|
CF
|
.101
|
.040
|
.106
|
.018
|
.036
|
-.003
|
.086
|
.241
|
.022
|
.021
|
1.000
|
|
|
|
HP
|
.215
|
.020
|
.145
|
-.126
|
-.064
|
.085
|
.176
|
.028
|
.177
|
.113
|
.042
|
1.000
|
|
|
La
|
.161
|
-.158
|
.007
|
-.259
|
-.125
|
.099
|
.033
|
.119
|
.281
|
.139
|
.014
|
.258
|
1.000
|
|
LS
|
.087
|
-.062
|
-.072
|
-.260
|
-.073
|
.192
|
.020
|
.117
|
.203
|
.083
|
-.054
|
.239
|
.386
|
1.000
|
Year of Schooling (YS), School Attendant (SA), Child Mortality (CM), Health Facility Access (HFA), Health Service Quality (HSQ), Toilet (To), Drinking Water (DW), Floor (Fl), Roof (Ro), Access to Electricity (AE), Cooking Fuel (CF), Household Property (HP), Land (La), and Livestock (LS)
Source: Computed from own field survey, 2020
To describe some, the land has a weak positive correlation to child mortality and cooking fuel (rs = 0.007 and 0.014) respectively. Cooking fuel has a weak positive relation (rs = 0.018) to health facility access and weak negative relation (rs = -0.003) to the toilet. Year of schooling has a weak positive correlation to (rs =0.012 and r= 0.016) to health facility access and health service quality in that order. In another view, health facility access has a positive moderate correlation (rs =0.372 and rs = 0.313) to drinking water and health service quality. This indicated as health facility access has a moderate contribution to health service quality. Land has moderate weak positive relation (rs = 0.386) to Livestock and (rs = 0.258) to house property. Another side, health facility access has a negative moderate correlation (rs = -0.259) to land and (rs = -0.260) to livestock. This implies as those who have relatively many livestock and big Farm size were far from health service access. Furthermore, the roof has a moderate positive correlation (rs = 0.379) to Access to electricity. This indicates as the household's house is covered with the galvanized metal sheet it gives a chance of using electricity if it has access to it. This means deprivation in one indicator is not significantly explained by deprivation in any other indicator, and the index would contain different dimensions of poverty. This makes the incidence, intensity, multidimensional poverty index, and other related analyses free from the fear of highly correlated indicators. Hence, all indicators decided to be included in the MPI calculation.
Table 3 shows the incidence of poverty (the proportion of people identified as multidimensionally poor - H); the intensity of poverty (the average proportion of weighted indicators in which the poor are deprived - A) and the status of multidimensional poverty in the study area. Based on the data collected from the survey the estimates of the MPI has presented in Table 3.
Table 3: Multidimensional rural poverty status
Status indicator variables
|
Value
|
Poverty cutoff (k)
|
33.33%
|
Total deprivation score (c)
|
177.632
|
Total sample population /households (n)
|
368
|
A multidimensional poor households deprivation score
|
154.23
|
Multidimensional noon poor households number
|
86
|
Multidimensional Poor households (q)
|
282
|
Headcount Ratio/incidence (H)
|
0.766 (76.6%)
|
The intensity of Poverty (A)
|
0.547 (54.7%)
|
Multidimensional Poverty Index (MPI)
|
0.419
|
Source: Computed from own field survey, 2020
In turn, the average intensity of poverty, which reflects the share of deprivations each poor household experiences on average, is 54.7%. That is, each poor household is, on average, deprived in more than two dimensions included in the MPI. The MPI is equivalently computed as the weighted sum of censored headcount ratios, which show the percentage of individuals who were identified as poor and are deprived of an indicator. Finally, the multidimensional poverty index of the research area (the households multidimensionally poor) was found to be 41.9%.
A previous similar study with three dimensions and ten indicators was done by OPHI (2017) reveals the multidimensional rural area poverty at the country level was MPI 0.637, incidence 96.3, and intensity 66.2%. Meanwhile, the multidimensional poverty status of the SNNPR was MPI 0.574, incidence 89.7%, intensity 64.0%. Another study of OPHI (2020) indicated as the MPI of Southern Nations, Nationalities, and Peoples' Region (SNNPR) is reduced to 0.482. The result of this study is to some extent less than the regional MPI. The study area of this research showed as the multidimensional status of the study area is somehow low with that of the region. Thus there is progress after the release of that research or particularly the study area's MPI is less than the regional average by its nature. This can be an indicator or it assures as Ethiopia is among fast developing countries in the world.
3.3 Contribution of Indicators and Dimensions to Multidimensional Rural Poverty
Previously the contribution of each indicator for uncensored headcount ratio was analyzed and discussed. Under this subtitle, the relative contribution of indicators and dimensions in multidimensional rural poverty has been discussed. Moreover, the severity of multidimensional rural poverty and the vulnerability of households to multidimensional poverty has been analyzed and discussed thoroughly.
3.3.1 Contribution of Indicators to Multidimensional Rural Poverty
Indicators considered under this study were analyzed and discussed based to view their contribution to multidimensional rural poverty. The result has revealed in Figure 3.
The highest contributor to the multidimensional poverty out of 100% in the study area was deprivation in school attendants which accounted (15%) followed by health service quality (13%), land possession (12%), year of schooling (10%), health service access (9%) and livestock (8%) consecutively. Whereas, Alkire and Santos (2011) directed that if the impact of each indicator to whole multidimensional poverty being above their weight, it reveals that the study households are extremely deprived of these indicators. For that reason, this result has been cross-checked with their allotted weight to conclude their contribution. When indicators contribution were compared with its allotted weight, the above Figure 3 revealed that the health service quality contributes 4.7%; land 3.7%; school attendant 2.5%; cooking fuel and floor 1.83% each; drinking water 0.83%; and health service access 0.7% above their allotted weight.
The deprivation in school attendants gets first rank (15%) to contribute to MPI and the third indicator to contribute above its allotted weight (2.5%) was because of the high rate of dropout in the study area. The secondary data obtained from the education office annual report of the study area is explicit as the annual dropout rises to 20%. The reason for such a high amount of dropouts according to the key informant's information is migration abroad, particularly to Kenya. As it has mentioned above, migration to Kenya is families' choice because of high remittance from there than those employed here in the country.
The second indicator to contribute to MPI (13%) and the first indicator to contribute above its allotted weight (4.7%) in the area was health service quality. Those who blame the quality of health service mainly raises the absence of necessary or prescribed medicine in the government health stations as well as district hospital found in the area. The land gets the third rank to contribute to MPI of the study area with a 12% contribution. On the other hand, it was the second contributor (3.7%) above its allotted weight. The justification for this was the absence of new land to be given to those who engaged in agriculture after they drop out of school. Almost the only menace of livelihood for the rural household of the study area was agriculture.
The contribution of both child mortality and the toilet was the list comparing with other indicators. This is the consequence of the strong effort of government through the service of health extension. It implies a good endeavor to achieve the target of sustainable development goals in this regard. The finding is in agreement with the finding of (Amao et al., 2017).
3.3.2 Contribution of Dimensions to Multidimensional Rural Poverty
Figure 4 illustrates the share of each dimension; education, health living Standard, and asset ownership to multidimensional rural poverty of households in the study area. All dimensions were given an equal weight of 25%.
From Figure 4 it is clear that Health contributes 21%, Education1 contributes 22% to overall Multidimensional rural poverty, while Asset Ownership share to overall poverty is 23% and Living Standard contribution is 34%. The share of the living standard was 25%, but it contributes above its weight. All other indicators contribute less than their assigned weight.
Living standards are depicted by far higher contribution to overall poverty while Health has the least contribution to overall multidimensional rural poverty of the study area. The living standard contributes more than one-third (34%) to multidimensional poverty. As it has indicated above in Figure 5, the result is the contribution of cooking fuel, floor, and drinking water which contributes above their assigned weight to multidimensional poverty of the study area. This reflects the poor state of living standards in the study area which makes the finding similar to Alkire and Jahan (2018) and Desawi (2019). The next highest contributor to multidimensional rural poverty of the study area was asset ownership. As asset ownership has included both land and livestock, the study reflects the shortage of land and livestock for farming rural households of the stud area. But, the health dimension has relatively less contribution (21%) than other dimensions under the study. The reason for this is the very less contribution of one indicator (child mortality) to the MPI. The achievement of reducing child mortality plays a significant role to contribute health dimensions below their given weight. This is an indicator of government efforts and the result of health extension workers. This finding corresponds with the finding of Andualem 2015 and Desawi (2019) where the education and health dimensions found the list contributor.
3.4 Severity of and Vulnerability to Multidimensional Poverty
The Severity of and Vulnerability to Multidimensional Poverty has been calculated based on the incidence of poverty from studied household heads. As to Alkire and Foster (2011) and Alkire et. al., (2016), those with MPI values is equal to <20% is considered not vulnerable to MPI, from 20% - 33.3% vulnerable, >33.3% to 49.9% are poor and >50% are considered severely poor in MPI. Those who were "not vulnerable to MPI", "vulnerable to MPI", "MPI poor" and "severely poor in MPI" households are presented in Figure 4.
As has been observed in Figure 5, only 2.2% or eight households were found not vulnerable to multidimensional rural poverty at the cutoff poverty (k) 33.33%. Vulnerable to multidimensional rural poverty counts 21.2% or 78 respondents in number from total respondents of the study. Whereas, not vulnerable and vulnerable categories are considered as none-poor and the other poor and severely poor are categorized as poor. The other 29.3% or 108 respondents were found to be poor in multidimensional rural poverty. Although, a great proportion of the respondent who accounts for 47.3% or 174 in number were severely poor in multidimensional rural poverty measurement. From this, it is possible to conclude that almost half of the people in the study area were found in severe poverty. This was seen by further broken down to look at the distribution of respondents where the majorities were found.