Table of contents for Amartya Sen's capability approach : theoretical insights and empirical applications / Wiebke Kuklys.


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1     Introduction ................ .............................  1
1.1 Motivation ..........................................   1
1.2 Individual Welfare Measures .......................... 3
1.2.1 Income ..............   ............................. 3
1.2.2 Adjustments of Income ............................. 4
1.2.3 Multidimensional Measures - Sen's Approach ......... 5
1.3 Aims and Structure of this Book .......................... 6
1.4 Contribution of this Book ................................   8
2   Sen's Capability Approach to Welfare Economics .......... 9
(Co-Authored with Ingrid Robeyns)
2.1 Introduction ...............  ............................ 9
2.2 Sen's Capability Approach ................................. 10
2.3 Characterisation of Welfare Economics and its Tools ......... 12
2.3.1 Definition and Characterisation ..................... 12
2.3.2 The Model ...................................... 13
2.4 Welfare Economics Revisited....... ..................... 14
2.4.1 The Market ....................................... 15
2.4.2 The Individual ................................... . 16
2.4.3 Can the Capability Approach Offer an Alternative? .... 20
2.5 Evidence on the Measurement of Functionings and Capabilities 20
2.5.1 Methodological Issues ........................... .  21
2.5.2 Measurement of Welfare Levels  ...................... 23
2.5.3 Policy Evaluation ................................ 24
2.5.4 Concluding Remarks ............................. 29
2.6 Conclusions     ..................................... 29
3 The Measurement of Functionings Achievement:
Structural Equation Models as an Alternative ............. 31
3.1 Introduction ..........   ........................... 31



3.2 Welfare Analysis in the Functionings Space ............ ..... 32
3.3 Functionings Achievement: Measurement and Modelling ..... 33
3.3.1 Issues in Functionings Measurement ................ 33
3.3.2 Empirical Approaches to the Measurement of
Functionings .................................... 35
3.3.3  The Regression Approach to Modelling Functionings
Achievement ....  ......     ................................ 39
3.4 A Structural Equation Model of Functionings Achievement ... 40
3.4.1  Model Specification .............................. 41
3.4.2  Ordinal Measurements .............................. 42
3.4.3  Estimation  ... .................. ..............  44
3.5 Functionings Achievement: Indicators and Causes ........... 45
3.5.1 The Data ........................................ 45
3.5.2 Indicators of Health and Housing  ................... . 45
3.5.3 The "Causal" Factors ............................. 48
3.5.4 Correlation Matrices ............... ............. 49
3.6 Results ..    ....................................... .   52
3.6.1 Results for Measurement and Structural Model........ 52
3.6.2 Functioning Scores and Income in Comparison ........ 54
3.7 Conclusions      ...................................... 56
4   Functionings-Based vs. Income-Based Inequality
Measures: Informational Content and Robustness .......... 59
4.1 Introduction .................   ............................ 59
4.2 Issues in Multidimensional Inequality Measurement ......... 60
4.3 Inequality in Unidimensional Distributions ................. . 61
4.4 Multidimensional Distributions ...........................  63
4.5 Robustness in Composite Functionings Measurement ......... 66
4.6 Empirical Application: Inequality in the Functionings Space .. 67
4.6.1  The Data ....................................... 67
4.6.2 Results   ...................................... 68
4.7 Conclusions     ..................................... 74
5   A Monetary Approach to Capability Measurement of the
Disabled in the UK .....    ............................. 75
5.1 Introduction .............      .................................. 75
5.2 Capability as Needs-Adjusted Income .................... . 76
5.2.1 Assumptions ...................................... 76
5.2.2 Identification of the Capability Set .................... 77
5.3 Equivalence Scales. ..................................... 78
5.3.1 Consumption-Based Scales ....................... . 79
5.3.2  Psychometric Equivalence Scales ................... 80
5.4 Conversion Factors ..............  ........................ 81
5.4.1  Needs versus Preferences ............................ 81
5.4.2  Disability as a Conversion Factor ................... . 83



5.5 Estimating the Capability Set ............................. 84
5.5.1 The Model ...................................... 84
5.5.2 The Data ...................................... . 85
5.5.3 Econometric Estimation and Model Specification ...... 87
5.6 Results ...    ...................................... .   91
5.6.1 Estimation Results .............................. . 91
5.6.2 Results for Psychometric Equivalence Scales .......... 93
5.6.3 Impact of Disability on Poverty ..................... 96
5.7 Conclusions     ..................................... 99
References .............     .................................. 105
Index .............................        .................. 113





Library of Congress Subject Headings for this publication: Welfare economics Mathematical models, Social choice Mathematical models, Poverty Mathematical models, People with disabilities Great Britain Economic conditions Case studies, Sen, Amartya Kumar