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Poverty and Inequality in Ireland: A Comparison using Measures of Income and Consumption

Author

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  • Donal O'Neill

    ()

  • Olive Sweetman

    () (Economics, National University of Ireland, Maynooth)

Abstract

This paper provides a detailed description of recent trends in inequality and poverty in Ireland. To date most of the analysis of inequality and poverty in Ireland has used cross-section data on income. We supplement the information on income with detailed data on individual expenditure taken from the Household Budget Survey. For both measures of resources we provide a detailed analysis of changes in inequality and poverty over the last decade. While our results on inequality are not sensitive to the choice of resource measure used, the identification of people in poverty differs across measures. Self-employed households fare better when expenditure is used to measure resources while the opposite is true for households headed by individuals who are retired or on home duties.

Suggested Citation

  • Donal O'Neill & Olive Sweetman, 1999. "Poverty and Inequality in Ireland: A Comparison using Measures of Income and Consumption," Economics, Finance and Accounting Department Working Paper Series n860399, Department of Economics, Finance and Accounting, National University of Ireland - Maynooth.
  • Handle: RePEc:may:mayecw:n860399
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    References listed on IDEAS

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    1. Markus Jäntti & Stephen P. Jenkins, 2013. "Income Mobility," SOEPpapers on Multidisciplinary Panel Data Research 607, DIW Berlin, The German Socio-Economic Panel (SOEP).
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    3. Paul Gregg, 1996. "It Takes Two: Employment Polarisation in the OECD," CEP Discussion Papers dp0304, Centre for Economic Performance, LSE.
    4. Banks, James & Blundell, Richard & Tanner, Sarah, 1998. "Is There a Retirement-Savings Puzzle?," American Economic Review, American Economic Association, vol. 88(4), pages 769-788, September.
    5. Kay, J. A. & Keen, M. J. & Morris, C. N., 1984. "Estimating consumption from expenditure data," Journal of Public Economics, Elsevier, vol. 23(1-2), pages 169-181.
    6. Callan, Tim & Nolan, Brian & Whelan, Christopher T., 1996. "A Review of the Commission on Social Welfare's Minimum Adequate Income," Research Series, Economic and Social Research Institute (ESRI), number PRS29.
    7. Bruce Bradbury, 1996. "Are the Low Income Self-employed Poor?," Discussion Papers 0073, University of New South Wales, Social Policy Research Centre.
    8. Coulter, Fiona A E & Cowell, Frank A & Jenkins, Stephen P, 1992. "Equivalence Scale Relativities and the Extent of Inequality and Poverty," Economic Journal, Royal Economic Society, vol. 102(414), pages 1067-1082, September.
    9. Barrett, Alan & Callan, Tim & Nolan, Brian, 1997. "The Earnings Distribution and Returns to Education in Ireland, 1987-94," CEPR Discussion Papers 1679, C.E.P.R. Discussion Papers.
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    Cited by:

    1. Madden, David, 2000. "Relative or Absolute Poverty Lines: A New Approach," Review of Income and Wealth, International Association for Research in Income and Wealth, vol. 46(2), pages 181-199, June.
    2. Madden, D., 2000. "Was Ireland Better Off in 1994 than in 1987?," Papers 00/11, College Dublin, Department of Political Economy-.
    3. Richard Layte & Brian Nolan & Christopher T. Whelan, 2001. "Reassessing Income and Deprivation Approaches to the Measurement of Poverty in the Republic of Ireland," The Economic and Social Review, Economic and Social Studies, vol. 32(3), pages 239-261.
    4. David Madden & Fiona Smith, 2000. "Poverty in Ireland, 1987-1994 - A Stochastic Dominance Approach," The Economic and Social Review, Economic and Social Studies, vol. 31(3), pages 187-214.
    5. E. Calvert & Brian Nolan & Tony Fahey & D. Healy & A. Mulcahy & B. Maître & Michelle Norris & I. O’Donnell & Nessa Winston & Christopher Whelan, 2013. "GINI Country Report: Growing Inequalities and their Impacts in Ireland," GINI Country Reports ireland, AIAS, Amsterdam Institute for Advanced Labour Studies.
    6. David (David Patrick) Madden, 1999. "The kids are alright? An analysis of child benefit using Irish data," Working Papers 199926, School of Economics, University College Dublin.
    7. Wasiu Adekunle Are, 2012. "Growth and Income Redistribution Components of Changes in Poverty: A Decomposition Analysis for Ireland, 1987-2005," Working Papers 201231, School of Economics, University College Dublin.
    8. Donal O'Neill, 2000. "Evaluating Labour Market Interventions," Economics, Finance and Accounting Department Working Paper Series n990300, Department of Economics, Finance and Accounting, National University of Ireland - Maynooth.
    9. Layte, Richard & Russell, Helen & McCoy, Selina, 2002. "The Economics and Marketing of Tobacco: An Overview of the Existing Published Evidence," Research Series, Economic and Social Research Institute (ESRI), number PRS46.
    10. David (David Patrick) Madden, 2002. "A review of recent research into poverty in Ireland," Working Papers 200232, School of Economics, University College Dublin.
    11. David (David Patrick) Madden & Fiona Smith, 2000. "Poverty in Ireland, 1987-1994 : a stochastic dominance approach," Open Access publications 10197/780, School of Economics, University College Dublin.
    12. Callan, Tim & Keeney, Mary J. & Nolan, Brian & Walsh, John R., 2001. "Reforming Tax and Welfare," Research Series, Economic and Social Research Institute (ESRI), number PRS42.
    13. Brian Nolan & Bertrand Maitre, 2000. "A Comparative Perspective on Trends in Income Inequality in Ireland," The Economic and Social Review, Economic and Social Studies, vol. 31(4), pages 329-350.

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    JEL classification:

    • D3 - Microeconomics - - Distribution

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