Page 5 - WELFARE IN MALAYSIA ACROSS THREE DECADES: THE STATE OF HOUSEHOLDS 2020 PART 1

CONTENTS

ABBREVIATIONS iv

GLOSSARY v
EXECUTIVE SUMMARY vii
INTRODUCTION 1

SECTION 3
SECTION 1
HOUSEHOLD WELL-BEING: TRENDS AND HOUSEHOLDS AND NATIONAL ACCOUNTS 60

Linking Factor Income to Household
PATTERNS 7
3.1
A Long-term View of Household 61
1.1 Income
Income
Box 2: Labour income and inequality in
8
1.1.2 Geographical trends 11 the Shared Prosperity Vision 2030 63
1.1.3 Ethnic differences 18 3.2 Income and Expenditure in the SAM 65
1.2 Household Expenses 23 3.3 Sectoral Analysis of Household
72
1.2.1 By income differences 26 Income Distribution

1.2.2 By price differences 28
CONCLUSION 76
Box 1: Aspirational consumption—an 81
APPENDICES
alternative approach to studying 90
wellbeing 29 REFERENCES

1.3 Residual Household Income 30

SECTION 2
SOCIAL WELFARE: INCOME, INEQUALITY
32

AND POVERTY
36
2.1 Inequality and Social Welfare
2.1.1 By state 38
2.1.2 By ethnicity 42

2.1.3 By income groups 44
2.2 Poverty and Social Welfare 47

2.2.1 Conceptualising absolute poverty
and the PLI in Malaysia 47

2.2.2 From absolute to relative poverty 48
2.2.3 Limitations of relative poverty
measures and alternative
approaches 52
2.3 Growth Elasticity of Poverty 55

2.4 Discussion: Nuances in Trends of
Income and Inequality 57

iv KHAZANAH RESEARCH INSTITUTE