Stochastic Dominance to Study Poverty Measures and its Applications
Nagwa Albehery1, Tonghui Wang2
1Dr. Nagwa Mohammed Albehery , Department of Mathematics and Applied Statistics and Insurance, Helwan University/ College of Commerce and Business Administration, Cairo, Egypt.
2Prof. Tonghui Wang, Department of Mathematics, New Mexico State University/ College of Art & Science, Lac Cruces, United States of America.

Manuscript received on February 03, 2016. | Revised Manuscript received on February 11, 2016. | Manuscript published on February 15, 2016. | PP: 13-19 | Volume-4 Issue-3, February 2016. | Retrieval Number: C0973024316/2016©BEIESP
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Abstract: Poverty measures are used to measure poverty levels or degrees of poverty in a population. Stochastic dominance refers to a set of relations between distributions. Stochastic dominance orders of poverty measures have been discussed by many authors in the literature. In this paper, definition of stochastic dominance is introduced and used to order poverty measures. Hypotheses testing on stochastic dominance ordering of poverty measures are obtained. For illustration, our results are applied to the real data sets collected in Egypt between 1995/1996 to 2008/2009.
Keywords: Poverty measures, poverty lines, stochastic dominance, Hypotheses testing.