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Accounting for recent trends in absolute poverty in Poland: A decomposition analysis

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  • Michał Brzeziński

    () (Faculty of Economic Sciences, University of Warsaw)

Abstract

This paper uses several decomposition of poverty and poverty changes to identify factors explaining recent changes in absolute income and consumption poverty in Poland during 1998−2008. Shapley decompositions of poverty changes into growth and redistribution components show that fast economic growth was the main source of a radical fall in absolute poverty since 2005. Distributional changes had a more profound effect on absolute poverty during 1998−2005. Sectoral decompositions of poverty suggest that stagnant wages and pensions as well as growing unemployment were major factors accounting for increasing poverty between 1998 and 2005. Decompositions of poverty indices by income sources show that social insurance is the most effective income source in reducing poverty incidence in Poland, while social assistance is the most effective source in fighting intensity of poverty.

Suggested Citation

  • Michał Brzeziński, 2011. "Accounting for recent trends in absolute poverty in Poland: A decomposition analysis," Working Papers 2011-19, Faculty of Economic Sciences, University of Warsaw.
  • Handle: RePEc:war:wpaper:2011-19
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    File URL: http://www.wne.uw.edu.pl/inf/wyd/WP/WNE_WP59.pdf
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    References listed on IDEAS

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    Cited by:

    1. Marcin Waniek & Krzysztof Makarski & Joanna Tyrowicz & Marcin Bielecki, 2017. "Inequality in an OLG Economy with Heterogeneous Cohorts and Pension Systems," 2017 Meeting Papers 958, Society for Economic Dynamics.
    2. Joanna Tyrowicz & Krzysztof Makarski & Marcin Bielecki, 2016. "Reforming retirement age in DB and DC pension systems in an aging OLG economy with heterogenous agents," IZA Journal of Labor Policy, Springer;Forschungsinstitut zur Zukunft der Arbeit GmbH (IZA), vol. 5(1), pages 1-36, December.
    3. Marcin Bielecki & Joanna Tyrowicz & Krzysztof Makarski & Marcin Waniek, 2015. "Inequalities in an OLG economy with heterogeneity within cohorts and pension systems," Working Papers 2015-16, Faculty of Economic Sciences, University of Warsaw.

    More about this item

    Keywords

    poverty; growth; inequality; poverty decompositions; transfers; Poland;

    JEL classification:

    • I32 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty - - - Measurement and Analysis of Poverty
    • P36 - Economic Systems - - Socialist Institutions and Their Transitions - - - Consumer Economics; Health; Education and Training; Welfare, Income, Wealth, and Poverty

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