In Peru, there are papers that study the dynamics of poverty; nevertheless, these documents do not make differences between levels of severity: extreme poverty and non-extreme poverty. In this sense, the main objective of this research is to identify the factors that make the households slip into and out of the extreme and non-extreme poverty in Peru (2003-2006).This paper finds out that there are different factors that make extreme and non-extreme poor households arrive to non-poverty. In this sense, the elements that only contribute to extreme poor households to reach the non-poverty are: housing conditions, literacy programs, shocks protection and politics of participative public management. Moreover, the tools that only facilitate the non-extreme poor households to slip out of poverty are non-university high education, credit access and productive assets. Finally, in order to make bo...

In Peru, there are papers that study the dynamics of poverty; nevertheless, these documents do not make differences between levels of severity: extreme poverty and non-extreme poverty. In this sense, the main objective of this research is to identify the factors that make the households slip into and out of the extreme and non-extreme poverty in Peru (2003-2006). This paper finds out that there are different factors that make extreme and non-extreme poor households arrive to non-poverty. In this sense, the elements that only contribute to extreme poor households to reach the non-poverty are: housing conditions, literacy programs, shocks protection and politics of participative public management. Moreover, the tools that only facilitate the non-extreme poor households to slip out of poverty are non-university high education, credit access and productive assets. Finally, in order to make b...