scholarly journals The role of automatic stabilizers and emergency tax–benefit policies during the COVID-19 pandemic in Ecuador

2021 ◽  
Author(s):  
H. Xavier Jara ◽  
Lourdes Montesdeoca ◽  
Iva Tasseva
Keyword(s):  
Poverty Line ◽  
Poverty Rate ◽  
Income Poverty ◽  
Economic Shocks ◽  
New Family ◽  
Poverty And Inequality ◽  
Household Disposable Income ◽  
Household Incomes ◽  
Income Decile

This paper makes use of tax–benefit microsimulation techniques to quantify the distributional effects of COVID-19 in Ecuador and the role of tax–benefit policies in mitigating the immediate impact of the economic shocks. Our results show a dramatic increase in income poverty and inequality between December 2019 and June 2020. The poverty rate, measured with the national poverty line, goes up from 25.7 to 58.2 per cent over this period and extreme poverty increases from 9.2 to 38.6 per cent. Inequality measured by the Gini coefficient increases substantially from 0.461 to 0.592. On average, household disposable income drops by 41 per cent. The new Family Protection Grant provides income protection for the poorest income decile. However, overall tax–benefit policies do little to mitigate the losses in household incomes due to the pandemic.

Economic modeling of touristic services demand in the regions

2019 ◽  
pp. 87-93
Author(s):  
Ivan Blahun ◽  
Halyna Leshchuk ◽  
Mariya Kyfor
Keyword(s):  
Systematic Approach ◽  
Income Elasticity ◽  
Probability Model ◽  
Economic Modeling ◽  
Tourism Demand ◽  
Goods And Services ◽  
Household Incomes ◽  
Tourism Services ◽  
Income Decile

Considering the important role of tourism in the socio-economic development of regions, the need for information and modeling of ways to increase demand for tourism services and tourism development is being updated. The article uses methods of analytical, logical, comparative analysis and systematic approach to study trends in demand for tourist services in Ukraine. Econometric modeling analyzes the demand for tourism services by the level of income and expenditures of the population in 2018. Trends in demand for tourism services in 2018 in terms of income and expenditure of the population with the use of the Tornquist econometric model have been analyzed. It is proposed to use the decile groups of the population for analyzing income and expenditure by the level of income, total income per capita, the level of household expenditure relative to income, the percentage of tourism expenditure by households, the expenditure on tourism and the elasticity of tourism demand. Average values of the population’s expenditures on tourism were established, which helped to determine the elasticity of effective demand for each decile group. The more than one unit of elasticity of effective tourism demand for each decile group indicated that tourism services for domestic households belong to the group of luxury goods and services. It should be noted that in the following decile income groups of households there is a decrease in elasticity. It means that when income tends to increase indefinitely, elasticity coefficients fall, and this indicates a stabilization of costs of this type. In this case, the percentage of households in each decile group that recorded the costs of organized tourism in their budgets and the value of the probability of household participation in this form of recreation was determined based on an estimated probability model. An analysis of the values of income elasticity indicators in each income decile group has shown that increasing household incomes contribute to increased demand for tourism services and an increase in the share of expenditures for these purposes in household budgets.

scholarly journals EFEKTIVITAS ZAKAT DALAM MENGURANGI KEMISKINAN DI JAWA TIMUR MENGGUNAKAN TEKNIK BASIC NEEEDS DEFICIENCY INDEX (BNDI)

2020 ◽  
Vol 6 (3) ◽  
pp. 568
Author(s):  
Arum Fatmawati ◽  
Raditya Sukmana
Keyword(s):  
Research Method ◽  
Total Population ◽  
Basic Needs ◽  
Poverty Line ◽  
Qualitative Approach ◽  
Deficiency Index ◽  
Study Strategy ◽  
Poverty And Inequality

This research aims to test the role of zakat to reduce poverty in the East Java period 2015-2017 by using the index that was recently developed, Basic Needs Deficiency Index. The research method used is qualitative approach with case study strategy. This research formulated BNDI index to measure the deficiency and effectiveness of zakat in resolving poverty. Data required is the total population that its income was below the poverty line in every city of East Java, and also total zakat, which was distributed by BAZNAS East Java in every city of East Java. The results obtained from the BNDI calculation have been able to explain the effectiveness of zakat for reducing poverty and inequality in East Java. The result of calculation, which was a high value or approaching value 1, explains that zakat that was distributed by BAZNAS East Java is not effective in reducing poverty in East Java. Furthermore, the result of this research shows that some cities had the highest BNDI and lowest BNDI as well. Hopefully, this result could be considered to use by the policymaker to improve the effectiveness of zakat in reducing poverty.Keywords: Zakat, Poverty, Basic Needs Deficiency Index (BNDI)

scholarly journals Can't wait to get my pension: the effect of raising the female early retirement age on income, poverty and deprivation

2018 ◽  
Vol 18 (3) ◽  
pp. 450-472 ◽  
Author(s):  
JONATHAN CRIBB ◽  
CARL EMMERSON
Keyword(s):  
Early Retirement ◽  
Poverty Rate ◽  
Living Standards ◽  
Income Poverty ◽  
Retirement Age ◽  
Pension Income ◽  
Proportional Effect ◽  
The Uk ◽  
Household Incomes ◽  
The Impact

AbstractWe estimate the impact of increasing the female early retirement age (ERA) on household living standards. Examining the increase in the female ERA from 60 to 63 in the UK, we find increased earnings only partially offset lost public pension income, leaving affected women's household incomes £32 per week lower on average. The proportional effect was substantially larger for women in lower income households. This increased the income poverty rate among affected women by 6.4 percentage points. We find no evidence of an increased inability to afford important material items, potentially suggesting that material deprivation has been avoided through smoothing of consumption.

scholarly journals Exploring the health-relevant poverty line: a study using the data of 663,000 individuals in Japan

2019 ◽  
Vol 18 (1) ◽  
Author(s):  
Takashi Oshio
Keyword(s):  
Health Outcomes ◽  
Population Health ◽  
Poverty Line ◽  
Poverty Rate ◽  
Specific Reference ◽  
Income Poverty ◽  
Median Income ◽  
Binary Variable ◽  
Cross Sectional ◽  
Daily Life Activities

Abstract Background Income poverty is known to be associated with poor health outcomes. However, the poverty line, which is used to calculate the poverty rate, is arbitrarily set without specific reference to health. This study explored the health-relevant poverty line to understand poverty in terms of population health. Methods Using repeated cross-sectional data from approximately 663,000 individuals obtained from 11 waves of nationwide population surveys conducted in Japan from 1986 to 2016, we used two methods to calculate a health-relevant poverty line: (1) We searched for a poverty line that maximized the proportion-weighted relative underperformance in health among individuals whose income was below the poverty line (Method I). (2) We searched for a poverty line that maximized the likelihood of the logistic regression model to explain poverty in terms of health using a binary variable for below-the-poverty-line income (Method II). For both methods, we considered five health outcomes: Poor/fair and poor self-rated health, subjective symptoms, problems with daily life activities, and psychological distress, along with covariates. Results Methods I and II indicated that the health-relevant poverty line should be drawn, respectively, at 72–86% and 67–69% of median income; this level is somewhat higher than the conventional 50% or 60%. Conclusions The results suggest that there is a risk that the conventionally defined poverty line may underestimate poverty in terms of population health.

THE APPLICATION OF AN ENDOGENOUS POVERTY LINE AND ITS RELATIONSHIP WITH THE POVERTY IMPACT OF ECONOMIC SHOCKS: AN EMPIRICAL INVESTIGATION

2013 ◽  
Vol 58 (01) ◽  
pp. 1350005 ◽  
Author(s):  
TEGUH DARTANTO
Keyword(s):  
Computable General Equilibrium ◽  
Poverty Line ◽  
Poverty Rate ◽  
Policy Reforms ◽  
Economic Shocks ◽  
Percentage Points ◽  
Soybean Price ◽  
The Difference ◽  
Fixed Line ◽  
The Impact

Most of the studies on the poverty impact of economic shocks as well as policy reforms assumed the poverty line as a fixed line; thus, the poverty outcome of shocks may underestimate (overestimate) and mislead in policy guidance. This research aims at empirically investigating the difference of poverty outcome between applying a fixed and an endogenous poverty line. Applying computable general equilibrium microsimulation (CGE-MS), this study has empirically proven that, if a fixed poverty line is applied, the poverty impact of economic shocks which significantly increase (decrease) price will always be underestimated (overestimated). This study empirically found that there is a 0.316 percentage point difference in the poverty outcome between applying the endogenous poverty line and the fixed poverty line when analyzing the impact on poverty in Indonesia of a doubling in the imported soybean price. Supposing the fixed poverty line, the poverty rate will increase by 0.167 percentage points, while supposing the endogenous poverty line, the poverty rate will increase by 0.483 percentage points. Therefore, applying either an endogenous or a fixed poverty line will have a different policy implication. This study strongly suggested that the endogenous poverty line should be applied when analyzing the poverty impact of shocks due to the precision in outcomes.

Growth, Poverty, and Distribution in Ethiopia

2019 ◽  
pp. 351-365
Author(s):  
Abebe Shimeles
Keyword(s):  
Poverty Reduction ◽  
Potential Role ◽  
Initial Conditions ◽  
Youth Unemployment ◽  
Poverty Rate ◽  
Rapid Population Growth ◽  
Poverty And Inequality ◽  
Per Capita ◽  
Over Time

The Ethiopian economy has maintained a rate of growth in output per worker for twenty years, averaging 6 per cent in real terms. As a result, per capita GDP during this period has doubled, the poverty rate has declined, and productivity in agriculture has improved. However, the country still grapples with rising youth unemployment and widespread poverty mediated by rapid population growth. This chapter examines the interactions between growth, poverty, and inequality by examining features of the Ethiopian labour market. The dynamics of poverty are discussed from the perspective of stylized facts on its components, including the persistence of poverty over time and the role of initial conditions in facilitating or impeding poverty reduction. The chapter investigates the potential role of changes in the sectoral share of employment on poverty and inequality under various policy settings.

Comparing Poverty Among Older People in Urban China Internationally

2007 ◽  
Vol 190 ◽  
pp. 451-465 ◽  
Author(s):  
Peter Saunders
Keyword(s):  
Older People ◽  
Living Arrangements ◽  
Well Being ◽  
Poverty Line ◽  
Poverty Rate ◽  
Urban China ◽  
Industrial Countries ◽  
Income Adequacy ◽  
Poverty And Inequality ◽  
Economic Well Being

AbstractThe decline in China's overall poverty rate in recent decades reflects the success of the economic reforms, but it is also important to examine the structure of poverty. Its incidence among older people can highlight where and how pension schemes and other mechanisms succeed in providing income adequacy in old age. This article compares poverty rates among the aged living by themselves (or with their spouse) in urban China with those existing in a range of other, mainly richer industrial countries. It uses data from a national survey of the aged in China conducted in 2000 and estimates derived from the Luxembourg Income Study (LIS), an international project that has set the standards for comparative research on economic well-being, poverty and inequality. The results provide a robust assessment of how well China has performed in reducing poverty among older people. Using poverty lines set at one-half of median and mean income, the analysis indicates that while relative poverty among older people in urban China exceeds that in other countries, the gap varies with living arrangements, where the poverty line is set and how older people are defined, but is far smaller than the underlying differences in per capita income.

scholarly journals Income Poverty, Deprivation and Exclusion: A Comparative Study of Australia and Britain

2006 ◽  
Vol 35 (4) ◽  
pp. 559-584 ◽  
Author(s):  
PETER SAUNDERS ◽  
LAURA ADELMAN
Keyword(s):  
Low Income ◽  
Poverty Line ◽  
Poverty Rate ◽  
Income Poverty ◽  
Data Sets ◽  
Poverty Measure ◽  
Lone Parents ◽  
Low Incomes ◽  
Working Age ◽  
Using Data

Poverty research has a long history in both Australia and Britain, but its influence on policy remains subject to political priorities and ideology. This can partly be explained by the limitations of defining poverty as low income and measuring it using an income poverty line. This article examines two national data sets that allow the income poverty profile to be compared with, and enriched by, the incidence of deprivation and social exclusion, measured using data that directly reflect experience. Although a degree of care must be applied when interpreting these new indicators within and between countries, a validated poverty measure is developed that reflects both low income and the experience of deprivation and exclusion. When results for the two countries are compared, they reveal stark differences between the alternative indicators. Britain has the higher income poverty rate and, although the incidence of both deprivation and exclusion are higher in Australia, Britain still has more validated poverty. The distributional profiles of deprivation and exclusion are shown to be very different in the two countries. These differences are explained by the very low incomes of low-income households in Britain, relative to other British households and relative to their Australian counterparts. Despite these differences, the results indicate that the same three groups face the greatest risk in both countries: lone parents, single working-age people and large (couple) families.

scholarly journals Price Indexes, Inequality, and the Measurement of World Poverty

2010 ◽  
Vol 100 (1) ◽  
pp. 5-34 ◽  
Author(s):  
Angus Deaton
Keyword(s):  
Purchasing Power Parity ◽  
Poverty Line ◽  
Poor People ◽  
Global Poverty ◽  
Power Parity ◽  
Poverty And Inequality ◽  
The Us ◽  
Price Indexes ◽  
World Poverty

I discuss the measurement of world poverty and inequality, with particular attention to the role of purchasing power parity (PPP) price indexes from the International Comparison Project. Global inequality increased with the latest revision of the ICP, and this reduced the global poverty line relative to the US dollar. The recent large increase of nearly half a billion poor people came from an inappropriate updating of the global poverty line, not from the ICP revisions. Even so, PPP comparisons between widely different countries rest on weak theoretical and empirical foundations. I argue for wider use of self-reports from international monitoring surveys, and for a global poverty line that is truly denominated in US dollars. (JEL C43, D31, I31, I32, F31)

scholarly journals THE INFLUENCE OF SELECTED FACTORS ON THE AT-RISK-OF-POVERTY RATE OF SLOVAK HOUSEHOLDS

2020 ◽  
Author(s):  
Helena Glaser-Opitzová ◽  
◽  
Mária Vojtková ◽  
Keyword(s):  
At Risk ◽  
European Union ◽  
Poverty Line ◽  
Poverty Rate ◽  
Income Poverty ◽  
The European Union ◽  
Statistical Tool ◽  
Europe 2020 ◽  
The Social ◽  
The Impact

Since the goal of any advanced society is to reduce poverty and improve the social status of the population, it is important to know the causes of its emergence. In connection with Slovakia's membership in the European Union, we have taken over European legislation in this area. The Europe 2020 strategy is currently in force in the countries of the European Union, while one of its five main objectives is "Fight against poverty and social exclusion". Poverty research is undoubtedly a topical, multidimensional problem. One of the issues it focuses on is the so-called income poverty. The poverty line is considered to be 60% of the median national equivalent disposable household income. In order for assistance to those at risk to be truly targeted at those who need it most, it is necessary to map the situation in detail and identify the factors that have the greatest impact on the incidence of poverty. In our paper, the subject of analysis will be the quantification of the influence of selected factors from The European Union Statistics on Income and Living Conditions (EU-SILC) database on the at-risk-of-poverty rate in Slovak households. The at-risk-of-poverty rate represents the proportion of people (in percent) in the whole population, whose equivalent disposable income is below the at-risk-of-poverty line. We will verify the impact of selected factors on the at-risk-of-poverty rate using a logistic regression model in the SAS Enterprise Guide statistical tool.

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