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Successful policy mixes to tackle the impact of rising inequalities on children: an EU-wide comparison - early draft - András Gábos TÁRKI Social Research Institute GINI YEAR-ONE CONFERENCE WP 6-3: Policy analysis - Towards an integrated approach Milan, 4-5 February 2011

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Page 1: Successful policy mixes to tackle the impact of rising inequalities on children: an EU-wide comparison - early draft - András Gábos TÁRKI Social Research

Successful policy mixes to tackle the impact of rising inequalities on children: an EU-wide

comparison

- early draft -

András GábosTÁRKI Social Research Institute

GINI YEAR-ONE CONFERENCEWP 6-3: Policy analysis - Towards an integrated approach

Milan, 4-5 February 2011

Page 2: Successful policy mixes to tackle the impact of rising inequalities on children: an EU-wide comparison - early draft - András Gábos TÁRKI Social Research

Aim of the paper

To comparatively evaluate the outcomes of MSs, their relative performance, and the key challenges in each MS in the field of child poverty and

well-being

To draw policy conclusionsBy updating and deepen an existing analysis on ChP & SE in the EU using an analyitical framework that relies on agreed Social OMC

indicators being aware that agreed indicators are subject to political and

methodological changes

Page 3: Successful policy mixes to tackle the impact of rising inequalities on children: an EU-wide comparison - early draft - András Gábos TÁRKI Social Research

1. What has been done so far?

The paper builds on EU Task-Force on ChP and WB in the EU (2008) TÁRKI - Applica (2010)

Child mainstreming process within the European Union (started in 2005)Assessing the performance of EU-27 MSs in the field of child poverty in four dimensions Child poverty risk outcomes Joblessness In-work poverty Impact of social transfers

Page 4: Successful policy mixes to tackle the impact of rising inequalities on children: an EU-wide comparison - early draft - András Gábos TÁRKI Social Research

Child poverty outcomes

At-risk-of-poverty rates (overall population and children) and relative median poverty gap, EU-27, 2008

Source: EUROSTAT, own estimations based on EU-SILC UDB (01.08.2010).

0

5

10

15

20

25

30

35

DK FI SI SE NL CZ CY AT DE SK FR BE EE IE HU LU MT EU-27

PL UK PT LT EL ES LV IT BG RO

0

5

10

15

20

25

30

35

40

45

National at-risk-of-poverty rate Children at-risk-of-poverty rate Relative median poverty gap - children

Page 5: Successful policy mixes to tackle the impact of rising inequalities on children: an EU-wide comparison - early draft - András Gábos TÁRKI Social Research

Children living in jobless households

Share of children (0-17) and adults (18-59 – not students) living in jobless hhs, EU-27*, 2008

Source: EUROSTAT (EU-LFS) *Data for Sweden are from EU-SILC (WI=0.2).

0

2

4

6

8

10

12

14

16

18

SI DK EL LU CY FI PT NL SE* AT ES IT EE CZ LV PL FR SK MT EU-27

DE LT RO BG BE IE HU UK

Share of adults in jobless households Share of children in jobless households

Page 6: Successful policy mixes to tackle the impact of rising inequalities on children: an EU-wide comparison - early draft - András Gábos TÁRKI Social Research

Poverty risk of children in in-work hhsEU-27*, 2008

Source: own calculations based on EU-SILC 2008. *No data available for Malta. Data for France are from 2007.

In-work households: WI ≥ 0.5

0

5

10

15

20

25

30

CZ DK SE FI SI BE DE IE NL AT HU CY BG UK SK EE EU-27

LU LT PT PL LV IT EL ES RO

At-risk-of-poverty rate of adults in in-work hhs At-risk-of-poverty rate of ch in in-work hhs

Page 7: Successful policy mixes to tackle the impact of rising inequalities on children: an EU-wide comparison - early draft - András Gábos TÁRKI Social Research

The effectiveness of social transfers, EU-27*, 2008

Source: EUROSTAT, own calculations based on EU-SILC 2008 (version 01.03.2010).

The effectiveness of social transfers (excl. pensions), EU-27, 2008

0

5

10

15

20

25

30

35

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45

50

DK FI SI SE NL CZ CY AT DE SK FR BE EE IE HU LU MT EU-27

PL UK PT LT EL ES LV IT BG RO

0

10

20

30

40

50

60

70

At-risk-of-poverty rate of children after social trannsfers (excl. pensions)

At-risk-of-poverty rate of children before social trannsfers (excl. pensions)

Poverty reduction impact of social transfers (excl. pensions) on child poverty

Page 8: Successful policy mixes to tackle the impact of rising inequalities on children: an EU-wide comparison - early draft - András Gábos TÁRKI Social Research

Child poverty outcomes – country clusters

Indicators included in this task: at-risk-of-poverty rate relative median poverty gap both based on EU-SILC

z-scores based on the difference between the

national figure for children and the overall national figure

the difference between the national figure and the EU average for children

z-scores added together, without weightingSix clusters

to maximise the “steps” between the groups

to minimise the variations within the groups

-4

-2

0

2

4

6

8

DK CY FI SI NL SE DE AT EE BE FR CZ IE MT LU UK HU SK LV EL PL LT PT ES IT BG RO

Page 9: Successful policy mixes to tackle the impact of rising inequalities on children: an EU-wide comparison - early draft - András Gábos TÁRKI Social Research

Relative outcomes of countries related to child poverty risk and main determinants

Group A: good performers in all dimensions

  Child poverty risk outcomes Joblessness

In-work poverty

Impact of social tr.

Group A DK + + + + + + + ++ + + +

EE + + + + –

FR + + + + + +

CY + + + + + + + –

NL + + + + + + +

AT + + + + + + + + +

SI + + + + + + + + + +

FI + + + + + + + + + + +

SE + + + + + + + + + +

Page 10: Successful policy mixes to tackle the impact of rising inequalities on children: an EU-wide comparison - early draft - András Gábos TÁRKI Social Research

Relative outcomes of countries related to child poverty risk and main determinants

 Child poverty risk

outcomes JoblessnessIn-work

povertyImpact of

social tr.

Group B

BE + – + + + +

CZ + – + + + + +

DE + + – + + + +

IE + – – + + + + +

HU – – – + + + +

BG – – – – + – – –

Group B: joblessness is key challenge

Page 11: Successful policy mixes to tackle the impact of rising inequalities on children: an EU-wide comparison - early draft - András Gábos TÁRKI Social Research

Relative outcomes of countries related to child poverty risk and main determinants

  Child poverty risk outcomes Joblessness

In-work poverty

Impact of social tr.

Group C

LV – – – – – –

LT – – – – – –

SK – – – +

UK – – – – – +

RO – – – – – – – – –

Group C: relatively bad performance in all dimensions

Page 12: Successful policy mixes to tackle the impact of rising inequalities on children: an EU-wide comparison - early draft - András Gábos TÁRKI Social Research

Relative outcomes of countries related to child poverty risk and main determinants

  Child poverty risk outcomes Joblessness

In-work poverty

Impact of social tr.

Group D

EL – – + + + – – – – –

ES – – + – – – – – –

IT – – + + – – – – –

LU – + + + – – +

PL – – + – – –

PT – – + + – – – –

Group D: in-work poverty is key challenge

Page 13: Successful policy mixes to tackle the impact of rising inequalities on children: an EU-wide comparison - early draft - András Gábos TÁRKI Social Research

2. Questions and further work

Robustness of the analytical framework

To further refine country clusters, by considering alternative outcome measures alternative measures of joblessness work intensity and poverty risk household composition

To further exploring within-group differences

Page 14: Successful policy mixes to tackle the impact of rising inequalities on children: an EU-wide comparison - early draft - András Gábos TÁRKI Social Research

Robustness of the anayltical framework

2005 2006 2007 2008BE B B B B xx xBG BCZ B B B B xx xDK A A A A xx xDE B B B B xx xEE B B B A xIE B B B B xx x

EL D D D D xx xES D D D D xx xFR B A A A xIT D D D D xx x

CY A A A A xx xLV D D C CLT D D C CLU D D D D xx xHU C C B BMT C CNL A A A A xx xAT A A A A xx xPL D D D D xx xPT D D D D xx xRO CSI A A A A xx x

SK C B B CFI A A A A xx x

SE A A A A xx xUK C C B C x

Page 15: Successful policy mixes to tackle the impact of rising inequalities on children: an EU-wide comparison - early draft - András Gábos TÁRKI Social Research

Income poverty and material deprivation

Source: own estimations based on EU-SILC 2008 (version 01.08.2010), following Atkinson and Marlier (2010). Data for France and Malta are not available from the EU-SILC UDB.

NP & NMD P MD P & MD Total Cons. id. BE 77 9 6 8 100 85 CZ 75 6 12 7 100 82 DK 87 7 4 2 100 89 DE 76 8 8 7 100 83 EE 77 10 5 7 100 85 IE 71 12 11 6 100 78 EL 68 14 9 9 100 77 ES 70 19 5 5 100 75 FR IT 66 14 9 10 100 76 CY 72 7 15 6 100 78 LV 56 8 20 16 100 72 LT 64 11 13 12 100 76 LU 79 16 1 4 100 83 HU 54 7 27 13 100 67 NL 84 9 3 4 100 88 AT 76 8 9 7 100 83 PL 59 10 19 12 100 71 PT 63 12 14 11 100 74 SI 79 7 10 4 100 83 SK 64 7 19 10 100 74 FI 83 8 6 4 100 86 SE 84 10 3 3 100 87 UK 69 14 9 9 100 77 MT BG 49 2 26 24 100 73 RO 37 6 30 27 100 64 EU-27 69 11 11 9 100 78

Page 16: Successful policy mixes to tackle the impact of rising inequalities on children: an EU-wide comparison - early draft - András Gábos TÁRKI Social Research

Joblessness: EU-LFS vs EU-SILC

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16

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24

0 4 8 12 16 20 24

EU-LFS

EU

-SIL

C

UK

LT

RO

SKLVEE

ES

BE

IE

HU

Source:EUROSTAT, own estimations based on EU-SILC 2008 (version 01.08.2010). Data for France and Malta are not available from the EU-SILC UDB.

Page 17: Successful policy mixes to tackle the impact of rising inequalities on children: an EU-wide comparison - early draft - András Gábos TÁRKI Social Research

Child poverty risk by work intensity, weighted overall EU-27*, 2008

Source: own estimations based on EU-SILC 2008 (version 01.08.2010). *Excl. FR, MT.

0

10

20

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40

50

60

70

WI=0 WI=0-0.2 WI=0.2-0.33 WI=0.33-0.49

WI=0.5 WI=0.5-0.66 WI=0.66-0.75

WI=0.75-0.99

WI=1

0

5

10

15

20

25

30

35

Risk of poverty Share of children

Jobless and job poor

One breadwinner

Job rich

Page 18: Successful policy mixes to tackle the impact of rising inequalities on children: an EU-wide comparison - early draft - András Gábos TÁRKI Social Research

Poverty risk of children in in-work hhsEU-27*, 2008

0

4

8

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28

32

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40

44

CZ DK SE FI SI BE DE IE NL AT HU CY BG UK SK EE EU-27

LU LT PT PL LV IT EL ES RO

At-risk-of-poverty rate of adults in in-work hhs At-risk-of-poverty rate of ch in in-work hhs

Source: own calculations based on EU-SILC 2008. *No data available for Malta. Data for France are from 2007.

In-work households: WI ≥ 0.5

0

4

8

12

16

20

24

28

32

36

40

44

CZ DE DK AT SE IE HU FI UK NL BE LU EE EU-27

BG PL CY LT SK EL SI LV IT RO PT ES

At-risk-of-poverty rate of adults in wi=0.5 hhs At-risk-of-poverty rate of adults in wi=0.5 hhs

One bw households: WI = 0.5

Page 19: Successful policy mixes to tackle the impact of rising inequalities on children: an EU-wide comparison - early draft - András Gábos TÁRKI Social Research

Joint activity status of parents and the poverty risk of children, EU-27*, 2008

Source: own estimations based on EU-SILC 2008 (version 01.08.2010). *Excl. FR, MT.

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60

70

80

JL SP JL Low activity SP PT 1 BW SP FT 1.5 BW 2 BW

Page 20: Successful policy mixes to tackle the impact of rising inequalities on children: an EU-wide comparison - early draft - András Gábos TÁRKI Social Research

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