Vulnerability to multidimensional poverty: Findings from households in Melanesia

This paper examines vulnerability in two Melanesian small island developing states: Solomon Islands and Vanuatu. With large proportions of the population living semi-subsistence lifestyles in rural areas, consumption poverty is notoriously difficult to measure. The paper therefore departs from the standard approach and assesses household vulnerability to multidimensional poverty. The paper employs cross-sectional data from a household survey. Results indicate that vulnerability is more widespread than poverty and that vulnerability stems more from excess volatility in expected wellbeing than a particularly low expected level of wellbeing, per se. Results point to a pressing need for formal social protection policies to be implemented.