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Nickel and Dimed German Style: The Working Poor in Germany

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  • Haisken-DeNew, John P.
  • Schmidt, Christoph M.

Abstract

Using data from the German SOEP, this paper analyses whether there have been (a) any significant changes in poverty rates and poverty intensities before and after the Hartz IV reforms and (b) whether there have been observable changes in the effect of employment in reducing the threat or intensity of poverty. Using multivariate analyses we can find no evidence of increases in poverty rates comparing the time period 2002-2004 with that of 2005-2006. Further we find no change in the effect of employment in reducing the probability and intensity of poverty during this time period. The working poor phenomenon in Germany remains relatively small and statistically unchanged by the Hartz reforms.

Suggested Citation

  • Haisken-DeNew, John P. & Schmidt, Christoph M., 2009. "Nickel and Dimed German Style: The Working Poor in Germany," Ruhr Economic Papers 122, RWI - Leibniz-Institut für Wirtschaftsforschung, Ruhr-University Bochum, TU Dortmund University, University of Duisburg-Essen.
    • Handle: RePEc:zbw:rwirep:122
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    References listed on IDEAS

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    6. Sonja C. Kassenboehmer & John P. Haisken-DeNew, 2009. "Social Jealousy and Stigma: Negative Externalities of Social Assistance Payments in Germany," Ruhr Economic Papers 0117, Rheinisch-Westfälisches Institut für Wirtschaftsforschung, Ruhr-Universität Bochum, Universität Dortmund, Universität Duisburg-Essen.
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    Cited by:

    1. Kerstin Bruckmeier & Jürgen Wiemers, 2010. "A New Targeting - A New Take-Up?: Non-take-up of Social Assistance in Germany after Social Policy Reforms," SOEPpapers on Multidisciplinary Panel Data Research 294, DIW Berlin, The German Socio-Economic Panel (SOEP).
    2. Hans-Werner Sinn & Wido Geis & Christian Holzner, 2009. "Die Agenda 2010 und die Armutsgefährdung," ifo Schnelldienst, ifo Institute - Leibniz Institute for Economic Research at the University of Munich, vol. 62(17), pages 23-27, September.

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    Keywords

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    JEL classification:

    • D31 - Microeconomics - - Distribution - - - Personal Income and Wealth Distribution
    • J65 - Labor and Demographic Economics - - Mobility, Unemployment, Vacancies, and Immigrant Workers - - - Unemployment Insurance; Severance Pay; Plant Closings
    • J21 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Labor Force and Employment, Size, and Structure

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