Beyond Monetary Measures: Determinants of Multidimensional Poverty among Vulnerable Older Children and Youth in East Germany

This paper investigates child poverty in Germany through a multidimensional lens, combining Sen’s Capability Approach and Bourdieu’s Capital Theory to develop a adapted Multidimensional Poverty Index (MPI) for children above 11 and youth aged 17. Drawing on data from the German Socio-Economic Panel (SOEP v38, 2021), this study identifies key patterns of multidimensional deprivation among children and adolescents across age groups, regions, and socio- demographic characteristics. The findings reveal that around 14 to 15 percent of both age groups are affected by multidimensional poverty nationwide. While monetary poverty remains a strong predictor (especially in East Germany), regional disparities between East and West are less pronounced than assumed. Among children above 11, key factors influencing multidimensional poverty include being male, having a direct migrant background, living in larger households, and experiencing monetary poverty. For 17-year-olds, financial hardship and living with a person in need of care emerge as the most significant determinants. Notably, the highest levels of deprivation are consistently found in the relationships dimension, echoing recent research on increasing youth loneliness. The study’s findings highlight how limited access to cultural, social, and economic capital constrains children’s capability development. Based on these insights, the paper proposes targeted policy measures, including inclusive early education reforms, increased child benefits, and expanded youth infrastructure. Emphasizing children’s agency and social inclusion, the recommendations aim to reduce structural inequalities and expand real opportunities for disadvantaged youth.