Age-Adjusted Poverty Line: Thailand Case Study

Author Information

Thoedsak Chomtohsuwan, Rangsit University, Thailand
Narissara Charoenphandhu, Rangsit University, Thailand
Jirabodi Tanaattasena, Rangsit University, Thailand

Abstract

This study proposes an Age-Adjusted Poverty Line (AAPL) to address the limitations of the official poverty line, which is age-neutral and may not adequately reflect differences in the minimum cost of living across age groups. Although Thailand’s official poverty line is constructed on the basis of the Cost of Basic Needs (CBN) approach at the household level, when reported on a per capita basis, it does not explicitly account for age-specific differences in basic consumption expenditure. Methodologically, this study treats Thailand’s official poverty line as an age-neutral benchmark and adjusts it using age-specific weights to reflect differences in basic consumption costs across life-cycle stages. Age-specific basic consumption expenditure is estimated from observed consumption patterns derived from the Thai Household Socio-Economic Survey. The findings indicate that the use of a single poverty line for all age groups may obscure structural vulnerabilities arising from differences in consumption patterns over the life course, particularly at critical stages of human capital formation and in the context of population ageing. Therefore, adjusting the poverty line to account for age enhances the sensitivity of poverty analysis and provides a more useful basis for designing social protection policies that are better aligned with the needs of people at different stages of life.

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