Revisions of the global multidimensional poverty index: indicator options and their empirical assessment

This paper illustrates how normative reasoning was applied to empirical applications of different indicator options in order to revise the global Multidimensional Poverty Index (MPI) indicators in 2018 to better align with the SDGs. Given the emphasis in the SDGs on leaving no one behind, the household surveys used to estimate the global MPI were explored to see which could create individual level MPIs, but country coverage would be sharply reduced by half. The paper then applies consistent criteria to assess whether 33 potential additional indicators could be added to strengthen the global MPI, and applies a set of criteria which in the end ruled out new indicators. Finally it both illustrates and describes the iterative interplay of normative and technical considerations underlying adjustments in three original indicators – child mortality, nutrition, and housing – which involves considering the joint distribution of alternative indicators across twenty trial measures for all countries.