Consolidating and improving the assets indicator in the global Multidimensional Poverty Index

This article traces a methodological path for constructing statistically and normatively validated assets indicator, that in turn can be used within an internationally comparable measure of multidimensional poverty. The validates revision to the indicator global Multidimensional Poverty Index (global MPI) makes best possible use existing data. Our normative focus is shaped by Amartya Sen’s capability approach, framing relation human activities. But surprisingly few asset items were available 75 countries 3.5 billion people, standard set revisions, so paper notes lack data, as well data on quality, quantity or gendered ownership assets. Drawing empirical antecedents complemented reasoning, this uses tetrachoric exploratory factor analysis, multiple correspondence classical test theory, item response theory non-parametric Mokken scale procedure identify proxy deprivations. Measures trialled across 26 purposefully-selected countries. final counting-based index includes nine (adding computer animal cart original MPI indicator). It has higher reliability than other options, arguably most rigorous feasible compare deprivations constructed from sources. approach outlined here could design validate indicators national, regional, bespoke poverty measures elsewhere.