IDEAS home Printed from https://ideas.repec.org/p/pab/wpaper/19.06.html
   My bibliography  Save this paper

The Minimum Income Scheme as a poverty reduction mechanism: the case of the Basque Country

Author

Listed:
  • Lucía Gorjón García

    (ISEAK and FEDEA)

  • Antonio Villar

    (Universidad Pablo de Olavide & IVIE)

Abstract

This paper analyses the impact of a Minimum Income Scheme (MIS), which operates in the Basque Country, one of the 17 Spanish Autonomous Regions, by assessing its efficacy in fighting poverty. We evaluate the effect or the MIS with respect to two different poverty measures. The first one is that defined by the administrative criteria of eligibility. The second one corresponds to Sen’s poverty measure that permits a simple decomposition of poverty into three different components, incidence, intensity and inequality. The results show that the MIS has reduced substantially all dimensions of poverty, even though there is scope for improvement both in coverage and efficiency.

Suggested Citation

  • Lucía Gorjón García & Antonio Villar, 2019. "The Minimum Income Scheme as a poverty reduction mechanism: the case of the Basque Country," Working Papers 19.06, Universidad Pablo de Olavide, Department of Economics.
    • Handle: RePEc:pab:wpaper:19.06
    as

    Download full text from publisher

    File URL: http://www.upo.es/serv/bib/wps/econ1906.pdf
    Download Restriction: no
    ---><---

    Other versions of this item:

    References listed on IDEAS

    as
    1. Sara de La Rica & Lucía Gorjón, 2017. "Assessing the Impact of a Minimum Income Scheme in the Basque Country," Studies on the Spanish Economy eee2017-16, FEDEA.
    2. Antonio Villar, 2017. "Inequality and Welfare," Lecture Notes in Economics and Mathematical Systems, in: Lectures on Inequality, Poverty and Welfare, chapter 0, pages 93-112, Springer.
    3. Foster, James & Greer, Joel & Thorbecke, Erik, 1984. "A Class of Decomposable Poverty Measures," Econometrica, Econometric Society, vol. 52(3), pages 761-766, May.
    4. Carlos Farinha Rodrigues, 2001. "Anti-poverty effectiveness and efficiency of the Guaranteed Minimum Income Programme in Portugal," Working Papers Department of Economics 2001/08, ISEG - Lisbon School of Economics and Management, Department of Economics, Universidade de Lisboa.
    5. de la Rica, Sara & Gorjón, Lucía, 2017. "Assessing the Impact of a Minimum Income Scheme in the Basque Country," IZA Discussion Papers 10867, Institute of Labor Economics (IZA).
    6. Miguel Gouveia & Carlos Farinha Rodrigues, "undated". "The impact of a "Minimum Guaranteed Income Program" in Portugal," Working Papers Department of Economics 1999/03, ISEG - Lisbon School of Economics and Management, Department of Economics, Universidade de Lisboa.
    7. Satya R. Chakravarty, 2009. "Inequality, Polarization and Poverty," Economic Studies in Inequality, Social Exclusion, and Well-Being, Springer, number 978-0-387-79253-8, Fall.
    8. Tsakloglou, Panos & O'Donoghue, Cathal & Matsaganis, Manos & Levy, Horacio & Coromaldi, Manuela & Farinha Rodrigues, Carlos & Toso, Stefano & Mercader-Prats, M., 2004. "Child poverty and family transfers in Southern Europe," EUROMOD Working Papers EM2/04, EUROMOD at the Institute for Social and Economic Research.
    9. Beckerman, W, 1979. "The Impact of Income Maintenance Payments on Poverty in Britain, 1975," Economic Journal, Royal Economic Society, vol. 89(354), pages 261-279, June.
    10. Carlos Farinha Rodrigues, 2004. "The Redistributive Impact of the Guaranteed Minimum Income Programme in Portugal," Working Papers Department of Economics 2004/09, ISEG - Lisbon School of Economics and Management, Department of Economics, Universidade de Lisboa.
    11. Antonio Villar, 2017. "Lectures on Inequality, Poverty and Welfare," Lecture Notes in Economics and Mathematical Systems, Springer, number 978-3-319-45562-4, December.
    12. Marcella Corsi & Fabrizio Botti & Carlo D'Ippoliti, 2016. "The Gendered Nature of Poverty in the EU: Individualized versus Collective Poverty Measures," Feminist Economics, Taylor & Francis Journals, vol. 22(4), pages 82-100, October.
    13. Ayala, Luis & Paniagua, Milagros, 2017. "The impact of in-work benefits on female labor supply and income distribution in Spain," EUROMOD Working Papers EM17/17, EUROMOD at the Institute for Social and Economic Research.
    14. Luis Ayala & Magdalena Rodríguez, 2010. "Explaining welfare recidivism: what role do unemployment and initial spells have?," Journal of Population Economics, Springer;European Society for Population Economics, vol. 23(1), pages 373-392, January.
    Full references (including those not matched with items on IDEAS)

    Most related items

    These are the items that most often cite the same works as this one and are cited by the same works as this one.
    1. Lucía Gorjón & Sara de la Rica & Antonio Villar, 2018. "The social cost of unemployment: the Spanish labour market from a social welfare approach," Studies on the Spanish Economy eee2018-22, FEDEA.
    2. Lucía Gorjón & Sara de la Rica & Antonio Villar, 2019. "The social cost of unemployment in Spain: who are the losers?," Studies on the Spanish Economy eee2019-12, FEDEA.
    3. Lucía Gorjón & Sara Rica & Antonio Villar, 2020. "The Cost of Unemployment from a Social Welfare Approach: The Case of Spain and Its Regions," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 150(3), pages 955-976, August.
    4. Achille Lemmi & Donatella Grassi & Alessandra Masi & Nicoletta Pannuzi & Andrea Regoli, 2019. "Methodological Choices and Data Quality Issues for Official Poverty Measures: Evidences from Italy," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 141(1), pages 299-330, January.
    5. Morawski, Leszek & Levy, Horacio & 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.
    6. Carmen Herrero & Antonio Villar, 2021. "Opportunity advantage between income distributions," The Journal of Economic Inequality, Springer;Society for the Study of Economic Inequality, vol. 19(4), pages 785-799, December.
    7. José Ignacio García-Pérez & Antonio Villar, 2019. "On the three i’s of employment and the Spanish labour market," Working Papers 19.04, Universidad Pablo de Olavide, Department of Economics.
    8. José Ignacio García-Pérez & Antonio Villar, 2020. "NON-WORKING WORKERS. The unequal impact of Covid-19 on the Spanish labour market," Studies on the Spanish Economy eee2020-43, FEDEA.
    9. Carlos Farinha Rodrigues, 2004. "The Redistributive Impact of the Guaranteed Minimum Income Programme in Portugal," Working Papers Department of Economics 2004/09, ISEG - Lisbon School of Economics and Management, Department of Economics, Universidade de Lisboa.
    10. Antonio Villar, 2022. "Welfare poverty and human development," Working Papers 22.04, Universidad Pablo de Olavide, Department of Economics.
    11. Carlos Farinha Rodrigues, 2001. "Anti-poverty effectiveness and efficiency of the Guaranteed Minimum Income Programme in Portugal," Working Papers Department of Economics 2001/08, ISEG - Lisbon School of Economics and Management, Department of Economics, Universidade de Lisboa.
    12. Brown, Caitlin & Ravallion, Martin & van de Walle, Dominique, 2018. "A poor means test? Econometric targeting in Africa," Journal of Development Economics, Elsevier, vol. 134(C), pages 109-124.
    13. Iñaki Permanyer & Diederik Boertien, 2019. "A century of change in global education variability and gender differences in education," PLOS ONE, Public Library of Science, vol. 14(2), pages 1-22, February.
    14. Juan-Francisco Sánchez-García & María-del-Carmen Sánchez-Antón & Rosa Badillo-Amador & María-del-Carmen Marco-Gil & Juan-Vicente LLinares-Ciscar & Susana Álvarez-Díez, 2019. "A New Extension of Bourguignon and Chakravarty Index to Measure Educational Poverty and Its Application to the OECD Countries," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 145(2), pages 479-501, September.
    15. Simshauser, Paul, 2021. "Vulnerable households and fuel poverty: Measuring the efficiency of policy targeting in Queensland," Energy Economics, Elsevier, vol. 101(C).
    16. Michal Brzezinski, 2015. "Accounting for trends in health poverty: a decomposition analysis for Britain, 1991–2008," The European Journal of Health Economics, Springer;Deutsche Gesellschaft für Gesundheitsökonomie (DGGÖ), vol. 16(2), pages 153-159, March.
    17. Cárdenas-Retamal, Roberto & Dresdner-Cid, Jorge & Ceballos-Concha, Adams, 2021. "Impact assessment of salmon farming on income distribution in remote coastal areas: The Chilean case," Food Policy, Elsevier, vol. 101(C).
    18. Chrysa Leventi & Holly Sutherland & Iva Valentinova Tasseva, 2016. "Improving poverty reduction in Europe: what works (best) where?," ImPRovE Working Papers 16/16, Herman Deleeck Centre for Social Policy, University of Antwerp.
    19. Miles Corak & Christine Lietz & Holly Sutherland, 2005. "The Impact of Tax and Transfer Systems on Children in the European Union," Papers inwopa05/30, Innocenti Working Papers.
    20. d'Albis, Hippolyte & Badji, Ikpidi, 2022. "Inequality within generation: Evidence from France," Research in Economics, Elsevier, vol. 76(1), pages 69-83.

    More about this item

    Keywords

    minimum income schemes; poverty; inequality; efficiency and effectiveness.;
    All these keywords.

    JEL classification:

    • I32 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty - - - Measurement and Analysis of Poverty
    • I38 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty - - - Government Programs; Provision and Effects of Welfare Programs
    • D61 - Microeconomics - - Welfare Economics - - - Allocative Efficiency; Cost-Benefit Analysis

    NEP fields

    This paper has been announced in the following NEP Reports:

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:pab:wpaper:19.06. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    If CitEc recognized a bibliographic reference but did not link an item in RePEc to it, you can help with this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Publicación Digital - UPO (email available below). General contact details of provider: https://edirc.repec.org/data/deupoes.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.