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Subjective poverty in Europe: the role of household socioeconomic characteristics and social capital

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  • Giuseppina Guagnano

    ()
    (Department of Methods and Models for Economics, Territory and Finance MEMOTEF, Sapienza University of Rome (Italy))

  • Elisabetta Santarelli

    ()
    (Department of Methods and Models for Economics, Territory and Finance MEMOTEF, Sapienza University of Rome (Italy))

  • Isabella Santini

    ()
    (Department of Methods and Models for Economics, Territory and Finance MEMOTEF, Sapienza University of Rome (Italy))

Abstract

This paper aims to show to what extent self-perceived poverty in Europe is associated with specific household socioeconomic characteristics and particular aspects of household/ community social capital endowment in order to disclose the primary risk factors of family poverty status. Such evidence would help central and local governments to define those economic and social goals which should receive more attention by policies aiming at poverty eradication. In particular, the paper focuses on the associations between a proxy of subjective poverty (Ability to make ends meet) and two sets of variables describing, respectively, the household socioeconomic characteristics and the household/community social capital endowment. In order to pursue this aim, a multiple correspondence analysis (MCA) is carried out . The empirical analysis is based on the 2008 EU-SILC survey and the Eurostat statistic database. The results show a relevant association between self-perceived poverty and both household socioeconomic characteristics and social capital. Implications for public policies are also discussed.

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File URL: http://www.memotef.uniroma1.it/sites/dipartimento/files/wpapers/documenti/FullTextWP113.pdf
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Paper provided by Sapienza University of Rome, Metodi e modelli per l'economia, il territorio e la finanza MEMOTEF in its series Working Papers with number 113/13.

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Handle: RePEc:rsq:wpaper:17/13

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Web page: http://www.memotef.uniroma1.it/RePEc/index.html
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Keywords: subjective poverty; household; socioeconomic characteristics; social capital; public policies; EU-SILC.;

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  1. Galor, Oded & Zeira, Joseph, 1993. "Income Distribution and Macroeconomics," Review of Economic Studies, Wiley Blackwell, vol. 60(1), pages 35-52, January.
  2. Isabella Santini & Anna de Pascale, . "Social capital and its impact on poverty reduction: measurement issues in longitudinal and cross-country comparisons. Towards a unified framework in the European Union," Working Papers 101/12, Sapienza University of Rome, Metodi e modelli per l'economia, il territorio e la finanza MEMOTEF.
  3. Abramovitz, Moses, 1986. "Catching Up, Forging Ahead, and Falling Behind," The Journal of Economic History, Cambridge University Press, vol. 46(02), pages 385-406, June.
  4. Joseph Deutsch & Jacques Silber, 2005. "Measuring Multidimensional Poverty: An Empirical Comparison Of Various Approaches," Review of Income and Wealth, International Association for Research in Income and Wealth, vol. 51(1), pages 145-174, 03.
  5. Easterlin, Richard A, 2001. "Income and Happiness: Towards an Unified Theory," Economic Journal, Royal Economic Society, vol. 111(473), pages 465-84, July.
  6. Ravallion, Martin & Lokshin, Michael, 2002. "Self-rated economic welfare in Russia," European Economic Review, Elsevier, vol. 46(8), pages 1453-1473, September.
  7. Goedhart, T. & Halberstadt, V. & Praag, B.M.S. van & Kapteyn, A.J., 1977. "The poverty line: Concept and measurement," Open Access publications from Tilburg University urn:nbn:nl:ui:12-361898, Tilburg University.
  8. John Helliwell, 2001. "Social Capital, the Economy and Well-being," The Review of Economic Performance and Social Progress, in: Andrew Sharpe, Executive Director & France St-Hilaire, Vice-President , Research & Keith Banting, Di (ed.), The Review of Economic Performance and Social Progress 2001: The Longest Decade: Canada in the 1990s, volume 1 Centre for the Study of Living Standards & The Institutute for Research on Public Policy.
  9. Tine Stanovnik & Miroslav Verbic, 2004. "Perception of Income Satisfaction: An Analysis of Slovenian Households," HEW 0408003, EconWPA.
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