This paper recognizes multidimensional poverty in rural China using the Mahalanobis-Taguchi System on the China Labor-force Dynamic survey (CLDS) 2014 dataset. Six dimensions are included: Income, Education, health, living, asset and housing. Results suggest that the MTS can precisely recognize poor and non-poor households and select the main indexes leading to multidimensional poverty. Enhancing income and improving farming efficiency are the main means of poverty reduction. Moreover, improving rural living and health conditions by strengthening public services and infrastructure should also be a policymaking concern.
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