Supernumerary Expenditure in Urban and Rural areas of Kermanshah and the Country (1995-2007)

This article examines the poverty rates for urban and rural areas of Kermanshah and the entire country using a Linear Expenditure System (LES) and Iterative Seemingly Unrelated Regression (ISUR) method during 1995-2007. Results indicate that poverty in rural and urban areas over the years in this province has an upturn trend. The findings also suggest that in rural and urban areas of Kermanshah, the group "foods" have biggest share of the poverty line. In rural areas of the country group "foods" have also the biggest share of the poverty line, but the largest share in country's urban areas belongs to group of "Housing and fuel". About elasticity the results show that in both urban and rural areas the group "other" and "appliances and furniture" are luxury.