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Child Poverty and Family Transfers in Southern Europe

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Author Info

  • Matsaganis, Manos

    ()
    (Athens University of Economics and Business)

  • O'Donoghue, Cathal

    ()
    (Teagasc Rural Economy Research Centre)

  • Levy, Horacio

    ()
    (University of Essex)

  • Coromaldi, Manuela

    ()
    (University of Rome Tor Vergata)

  • Mercader-Prats, Magda

    ()
    (Universitat Autònoma de Barcelona)

  • Rodrigues, Carlos Farinha

    ()
    (Universidade Técnica de Lisboa)

  • Toso, Stefano

    ()
    (University of Bologna)

  • Tsakloglou, Panos

    ()
    (Athens University of Economics and Business)

Abstract

The drive to reduce child poverty is of particular interest in southern Europe, where the subsidiary role of the State in matters of family policy has implied that programmes of public assistance to poor families with children are often meagre or not available at all. The paper examines the effect of family transfers (used broadly to include contributory family allowances, non-contributory child benefits and tax credits or allowances) on child poverty in Greece, Italy, Spain and Portugal. Using the European microsimulation model EUROMOD, the paper first assesses the distributional impact of existing family transfers and then explores the scope for policy reforms. By way of illustration, the effects of universal child benefit schemes similar to those in Britain, Denmark and Sweden are simulated. The paper concludes with a discussion of key findings and policy implications.

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Bibliographic Info

Paper provided by Institute for the Study of Labor (IZA) in its series IZA Discussion Papers with number 1509.

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Length: 47 pages
Date of creation: Mar 2005
Date of revision:
Publication status: published in: Research in Labor Economics, 2006, 25, 101-124
Handle: RePEc:iza:izadps:dp1509

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Keywords: microsimulation; child poverty; social transfers; fiscal benefits; south Europe;

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References

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  1. Virginia Hernanz & Franck Malherbet & Michele Pellizzari, 2004. "Take-Up of Welfare Benefits in OECD Countries: A Review of the Evidence," OECD Social, Employment and Migration Working Papers, OECD Publishing 17, OECD Publishing.
  2. Sutherland H, 2003. "The take-up of Income Support by pensioners: estimates from POLIMOD using the Family Resources Survey," Microsimulation Unit Research Notes, Microsimulation Unit at the Institute for Social and Economic Research MU/RN/42, Microsimulation Unit at the Institute for Social and Economic Research.
  3. Mantovani, Daniela & Sutherland, Holly, 2003. "Social indicators and other income statistics using the EUROMOD baseline: a comparison with Eurostat and National Statistics," EUROMOD Working Papers EM1/03, EUROMOD at the Institute for Social and Economic Research.
  4. Sheila B. Kamerman & Michelle Neuman & Jane Waldfogel & Jeanne Brooks-Gunn, 2003. "Social Policies, Family Types and Child Outcomes in Selected OECD Countries," OECD Social, Employment and Migration Working Papers, OECD Publishing 6, OECD Publishing.
  5. Robert A. Moffitt, 2003. "Means-Tested Transfer Programs in the United States," NBER Books, National Bureau of Economic Research, Inc, National Bureau of Economic Research, Inc, number moff03-1.
  6. Beckerman, W, 1979. "The Impact of Income Maintenance Payments on Poverty in Britain, 1975," Economic Journal, Royal Economic Society, Royal Economic Society, vol. 89(354), pages 261-79, June.
  7. Foster, James & Greer, Joel & Thorbecke, Erik, 1984. "A Class of Decomposable Poverty Measures," Econometrica, Econometric Society, Econometric Society, vol. 52(3), pages 761-66, May.
  8. Levy, Horacio, 2003. "Child-targeted tax-benefit reform in Spain in a European context: a microsimulation analysis using EUROMOD," EUROMOD Working Papers EM2/03, EUROMOD at the Institute for Social and Economic Research.
  9. Smeeding, Timothy M, et al, 1993. "Poverty, Inequality, and Family Living Standards Impacts across Seven Nations: The Effect of Noncash Subsidies for Health, Education and Housing," Review of Income and Wealth, International Association for Research in Income and Wealth, International Association for Research in Income and Wealth, vol. 39(3), pages 229-56, September.
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Cited by:
  1. Corak, Miles & Lietz, Christine & Sutherland, Holly, 2005. "The impact of tax and transfer systems on children in the European Union," EUROMOD Working Papers EM4/05, EUROMOD at the Institute for Social and Economic Research.
  2. Ive Marx & Brian Nolan & Javier Olivera, 2014. "The Welfare State and Anti-Poverty Policy in Rich Countries," Working Papers, Herman Deleeck Centre for Social Policy, University of Antwerp 1403, Herman Deleeck Centre for Social Policy, University of Antwerp.
  3. Levy, Horacio & Morawski, Leszek & Myck, Michal, 2008. "Alternative tax-benefit strategies to support children in Poland," EUROMOD Working Papers EM3/08, EUROMOD at the Institute for Social and Economic Research.
  4. Coral del Río & Carlos Gradín & Olga Cantó, 2006. "What helps households with children in leaving poverty? Evidence from Spain," Working Papers, ECINEQ, Society for the Study of Economic Inequality 24, ECINEQ, Society for the Study of Economic Inequality.

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