ON THE IDENTIFICATION OF CORE DETERMINANTS OF POVERTY: A LOGISTIC REGRESSION APPROACH

Abstract

This study carried out a logistic regression modelling of poverty status of households in Nigeria to identify possible determinants of poverty using the 2003/2004 National Living Standard Survey (NLSS) data. This approach differs from classical regression methods that place inappropriate restrictions on the residuals of the model. The results of the logistic regression showed that household size and educational group for highest level attained by the household head were the most significant determinants of poverty. Others include sex of the household head, age in years of the household head, father’s education level, father’s work, mother’s work, and occupation group of the household head. It strongly recommends that moderate household size and acquiring of formal education be encouraged to reduce poverty prevalence.

Keywords: poverty incidence, multidimensional concept, lack of representation and freedom, household's consumption expenditure, classical  regression methods, logistic regression model