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Efficacy of Anti-poverty and Welfare Programs in Portugal: the Joint Impact of the CSI and RSI

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  • Carlos Farinha Rodrigues

Abstract

The aim of this paper is to estimate the joint impact on the distribution of household income and poverty of the implementation of two major anti‐poverty measures in Portugal: the “Solidarity Supplement for the Elderly” (CSI) and the “Social Integration Income” (RSI). These two means‐tested measures were designed as the main components of the anti‐poverty social policy in Portugal, but they are directed at different groups of the population and have different objectives in terms of poverty reduction. Implemented since 1997, the aim of the RSI is to reduce extreme poverty through the reduction of poverty intensity of the most vulnerable sectors of the population. The CSI, gradually introduced since 2006, has the explicit objective of reducing the incidence of poverty on older people, its threshold defined at the level of the poverty line. Using a prototype of the Portuguese microsimulation model MicroSimPT , based on household micro‐data from the European Union Statistics on Income and Living Conditions (EU‐SILC), we simulate the impact of each measure and their joint effect on the income distribution and on different dimensions of monetary poverty. The size of government expenditure required to finance these programs will also be estimated. Key words: Income Distribution, Inequality, Poverty Alleviation, Social Policy, Portugal

Suggested Citation

  • Carlos Farinha Rodrigues, 2009. "Efficacy of Anti-poverty and Welfare Programs in Portugal: the Joint Impact of the CSI and RSI," Working Papers Department of Economics 2009/42, ISEG - Lisbon School of Economics and Management, Department of Economics, Universidade de Lisboa.
    • Handle: RePEc:ise:isegwp:wp422009
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    References listed on IDEAS

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    1. Tony Atkinson & Bea Cantillon & Eric Marlier & Brian Nolan, 2002. "Indicators for Social Inclusion," Politica economica, Società editrice il Mulino, issue 1, pages 7-28.
    2. Atkinson, Tony & Cantillon, Bea & Marlier, Eric & Nolan, Brian, 2002. "Social Indicators: The EU and Social Inclusion," OUP Catalogue, Oxford University Press, number 9780199253494.
    3. 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.
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    Cited by:

    1. Misina Cato & Olga Francová, 2025. "The distributional implications of the euro area crisis: Evidence from macroeconomic adjustment in Greece and Portugal," Working Papers 67, European Stability Mechanism, revised 10 Jan 2025.
    2. de Almeida, Filipa & Scott, Ian J. & Soro, Jerônimo C. & Fernandes, Daniel & Amaral, André R. & Catarino, Mafalda L. & Arêde, André & Ferreira, Mário B., 2024. "Financial scarcity and cognitive performance: A meta-analysis," Journal of Economic Psychology, Elsevier, vol. 101(C).
    3. Carlos Farinha Rodrigues & Isabel Andrade, 2013. "Robin Hood versus Piggy Bank: Income redistribution in Portugal 2006-10," Working Papers Department of Economics 2013/28, ISEG - Lisbon School of Economics and Management, Department of Economics, Universidade de Lisboa.
    4. Maria Cidália Queiroz & Marrielle Christine Gros, 2012. "Social Insertion Income: the contribution of the association Qualificar para Incluyir towards enhancing this policy," Notas Económicas, Faculty of Economics, University of Coimbra, issue 35, pages 59-73, June.
    5. Carlos Farinha Rodrigues & Isabel Andrade, 2014. "Robin Hood versus Piggy Bank: Income Redistribution in Portugal 2006-2010," Panoeconomicus, Savez ekonomista Vojvodine, Novi Sad, Serbia, vol. 61(5), pages 617-630, October.

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    Keywords

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    JEL classification:

    • D63 - Microeconomics - - Welfare Economics - - - Equity, Justice, Inequality, and Other Normative Criteria and Measurement
    • 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

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