Chapter 3: How to Interpret ADePT Results
Table 3.20: Headcount Ratio by Education Level percent
Education level 1 2 3 4 5 6 7
Poverty line = GEL 75.4 Elementary or less Incomplete secondary Secondary Vocational-technical Special secondary Higher education Total
Poverty headcount ratio
Distribution of the poor
Distribution of population
2003
2006
Change
2003
2006
Change
2003
2006
Change
A
B
C
D
E
F
G
H
I
40.4 36.1 33.2 30.0 25.2 17.6 29.9
35.9 38.2 31.9 35.0 27.7 20.9 31.0
−4.6 2.1 −1.3 5.0 2.5 3.4 1.0
6.5 14.3 46.8 7.7 10.1 14.6 100.0
5.7 13.9 44.1 8.5 11.2 16.6 100.0
4.6 11.5 40.8 7.5 11.6 24.1 100.0
4.1 10.9 41.7 7.3 12.2 23.8 100.0
−0.5 −0.6 0.9 −0.2 0.6 −0.3 n.a.
−0.7 −0.5 −2.6 0.7 1.2 1.9 n.a.
Source: Based on ADePT Poverty and Inequality modules using Integrated Household Survey of Georgia 2003 and 2006. Note: n.a. = not applicable.
ratio increases from 29.9 percent in 2003 [7,A] to 31.0 percent in 2006 [7,B], reflecting a 1.0 percentage point (rounded) increase in the headcount ratio. We find that 40.4 percent [1,A] of the population who have elementarylevel education or less are poor. In other words, the headcount ratio for this population subgroup is 40.4 percent. The headcount ratio for the same population subgroup fell to 35.9 percent in 2006 [1,B]. Thus, the headcount ratio fell by 4.6 percentage points [1,C] between these three years. At the other extreme, the headcount ratio for the subgroup with higher education increased by 3.4 percentage points, from 17.6 percent [6,A] to 20.9 percent [6,B]. Of all people who are poor in Georgia in 2003, 6.5 percent [1,D] have elementary education or less. The share of all poor with elementary education or less decreased to 5.7 percent in 2006 [1,E], a decrease of 0.7 percentage point [1,F]. Clearly, the poverty headcount ratio among the population with incomplete secondary education in 2003 [2,A] is larger than the poverty headcount ratio in 2003 among the higher education subgroup [6,A]. However, if we consider the share of all poor people who are found in these two subgroups in 2003, the number is larger for the population with higher education because of the two subgroups’ different population shares, as given in the table’s final columns. The population share with higher education in 2003 is 24.1 percent [6,G], whereas the population share with incomplete secondary education is only 11.5 percent [2,G]. The headcount ratios increased for the population with incomplete secondary education from
191