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Poverty Dynamics: Analysis of Household Incomes in Italy

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  • Tindara Addabbo

Abstract

Poverty increased in Italy during 1993, both in incidence and intensity. This study focuses on the changes which have taken place after the crisis. The data set used is the Bank of Italy Survey on Household Income and Wealth (SHIW), and poverty is defined in terms of disposable income. A descriptive analysis which uses intensity and incidence indices is provided and probit models are estimated on the poverty probability faced by households of the 1993-95 SHIW panel. The latter microeconometric analysis shows that households living in the South of Italy, with an unemployed husband and whose income was further below the poverty line in 1993, are more likely to have remained poor in 1995. Households whose head has a higher level of education and where the number of employed members is higher were more likely to escape from poverty in 1995. On the whole, it can be stated that poverty did not decrease after the 1993 recession and the poverty status of households living in the South of Italy did worsen after the crisis. Copyright Fondazione Giacomo Brodolini and Blackwell Publishers Ltd 2000.

Suggested Citation

  • Tindara Addabbo, 2000. "Poverty Dynamics: Analysis of Household Incomes in Italy," LABOUR, CEIS, vol. 14(1), pages 119-144, March.
  • Handle: RePEc:bla:labour:v:14:y:2000:i:1:p:119-144
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    Cited by:

    1. Francesco Devicienti & Valentina Gualtieri, 2007. "The Dynamics and Persistence of Poverty: Evidence from Italy," LABORatorio R. Revelli Working Papers Series 63, LABORatorio R. Revelli, Centre for Employment Studies.
    2. Francesco Devicienti & Ambra Poggi, 2011. "Poverty and social exclusion: two sides of the same coin or dynamically interrelated processes?," Applied Economics, Taylor & Francis Journals, vol. 43(25), pages 3549-3571.
    3. Tindara Addabbo & Rosa García-Fernández & Carmen Llorca-Rodríguez & Anna Maccagnan, 2013. "The effect of the crisis on material deprivation in Italy and Spain," Department of Economics (DEMB) 0019, University of Modena and Reggio Emilia, Department of Economics "Marco Biagi".
    4. Francesco Devicienti & Valentina Gualtieri & Mariacristina Rossi, 2014. "The Persistence Of Income Poverty And Lifestyle Deprivation: Evidence From Italy," Bulletin of Economic Research, Wiley Blackwell, vol. 66(3), pages 246-278, July.
    5. Vincenzo Lombardo, 2011. "Growth and Inequality Effects on Poverty Reduction in Italy," Rivista italiana degli economisti, Società editrice il Mulino, issue 2, pages 241-280.
    6. Aysenur Acar & Cem Baslevent, 2014. "Examination of the Transitions of Households into and out of Poverty in Turkey," Working Papers 015, Bahcesehir University, Betam.
    7. Chiara Assunta Ricci, 2016. "The mobility of Italy’s middle income group," PSL Quarterly Review, Economia civile, vol. 69(277), pages 173-197.
    8. Eisenhauer, Joseph G., 2011. "The rich, the poor, and the middle class: Thresholds and intensity indices," Research in Economics, Elsevier, vol. 65(4), pages 294-304, December.

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