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A Micro-Econometric Analysis of the Antipoverty Effect of Social Cash Transfers in Italy

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  • Enrico Fabrizi
  • Maria Rosaria Ferrante
  • Silvia Pacei

Abstract

type="main"> We analyze the anti-poverty effect of social cash transfers using a micro-econometric approach. Aggregate analyses, based on comparing average poverty indicators before and after public transfers, fail to address who receives the transfers and how the transfers are distributed among the poor. We consider three dichotomous outcome variables: (i) poverty status before the receipt of transfers; (ii) the receipt of transfers; and (iii) poverty status after the receipt of transfers. We use a trivariate probit model with sample selection, connecting the outcome variables to the characteristics of the household and its head. Our empirical results highlight that the Italian social transfers system overprotects certain household typologies at the expense of others, as social transfers are primarily awarded to employees with permanent positions and the elderly, while the system is not generous enough to large households with dependant children, the self-employed, temporary contract workers, and the unemployed.

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  • Enrico Fabrizi & Maria Rosaria Ferrante & Silvia Pacei, 2014. "A Micro-Econometric Analysis of the Antipoverty Effect of Social Cash Transfers in Italy," Review of Income and Wealth, International Association for Research in Income and Wealth, vol. 60(2), pages 323-348, June.
    • Handle: RePEc:bla:revinw:v:60:y:2014:i:2:p:323-348
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    Cited by:

    1. Enrico Fabrizi & Chiara Mussida, 2018. "Assessing poverty persistence in households with dependent children: the role of poverty measurement," DISCE - Quaderni del Dipartimento di Scienze Economiche e Sociali dises1839, Università Cattolica del Sacro Cuore, Dipartimenti e Istituti di Scienze Economiche (DISCE).
    2. Chiara Mussida & Dario Sciulli, 2022. "The dynamics of poverty in Europe: what has changed after the great recession?," The Journal of Economic Inequality, Springer;Society for the Study of Economic Inequality, vol. 20(4), pages 915-937, December.
    3. Alessandro Gallo & Silvia Pacei, 2020. "Economic Insecurity in the Italian Macro-Regions," International Journal of Economics and Finance, Canadian Center of Science and Education, vol. 12(8), pages 1-65, August.
    4. Massimo Baldini & Giovanni Gallo & Manuel Reverberi & Andrea Trapani, 2016. "Social transfers and poverty in Europe: comparing social exclusion and targeting across welfare regimes," Department of Economics 0091, University of Modena and Reggio E., Faculty of Economics "Marco Biagi".
    5. Massimo Baldini & Giovanni Gallo & Manuel Reverberi & Andrea Trapani, 2016. "Social transfers and poverty in Europe: comparing social exclusion and targeting across welfare regimes," Center for the Analysis of Public Policies (CAPP) 0145, Universita di Modena e Reggio Emilia, Dipartimento di Economia "Marco Biagi".
    6. Luca Zanin, 2016. "On Italian Households’ Economic Inadequacy Using Quali-Quantitative Measures," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 128(1), pages 59-88, August.
    7. Chiara Mussida & Raffaella Patimo, 2021. "Women’s Family Care Responsibilities, Employment and Health: A Tale of Two Countries," Journal of Family and Economic Issues, Springer, vol. 42(3), pages 489-507, September.
    8. Enrico Fabrizi & Chiara Mussida, 2020. "Assessing poverty persistence in households with children," The Journal of Economic Inequality, Springer;Society for the Study of Economic Inequality, vol. 18(4), pages 551-569, December.
    9. Chiara Mussida & Raffaella Patimo, 2018. "Women’s care responsibilities, employment and health: a two countries’ tale," DISCE - Quaderni del Dipartimento di Scienze Economiche e Sociali dises141, Università Cattolica del Sacro Cuore, Dipartimenti e Istituti di Scienze Economiche (DISCE).

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