The economics of poverty has still not been thoroughly researched in the Czech Republic, although it is a highly relevant topic. Similarly, the international comparability of poverty indicators remains rather unexplained in the European context. First, we intend to revise the currently most common income-based measure of poverty – at-risk-of poverty rate – by developing a country-specific equivalence scale used for its construction. Second, these estimations will be extended to provide poverty measures that account not only for differences among households but also for within-household inequality. Third, subjective poverty will be analysed and a methodology of measuring subjective income poverty line derived. Fourth, the explanatory power of the indicator of material deprivation will be verified. The transferability of established methodologies will be tested and extended to the European context. The work will piece together the missing and known knowledge about the Czech economics of poverty.
Project publications (total 4, displaying 1 - 4)
This paper aims to extend the knowledge of the relationship between within-couple income distribution and partners’ financial satisfaction, using data from the EU-SILC 2013 for 15 European countries, for the first time including data from Eastern Europe. We find that men’s preferences typically concur with the “traditional” male-breadwinner family model, as husband’s satisfaction decreases with a larger female share of household income.
The methodology used to determine the at-risk-of-poverty rate commonly applied in the European context is often criticised for arbitrary steps in its construction. This study questions the first step – the equivalence scale applied to transform the disposable income of households of different sizes into comparable units. First, we hypothesise that economies of scale are lower in Central-Eastern European countries than in their Western counterparts.
This study uses the intersection approach to estimate Subjective Poverty Lines and implicit subjective equivalence scales for European countries. The subjective poverty lines are derived from the Minimum Income Question included in the 2017 EU–Statistics on Income and Living Conditions data. Subjective equivalence scales differ across the European region, showing lower economies of scale for Eastern European countries.
Severe material deprivation, a dimension of the poverty and social exclusion index, one of Europe 2020 Strategy headline indicators, is defined as enforced lack of at least four of nine specific items. Proposals for modifications in the indicator include the Material and Social Deprivation indicator which is based on an updated set of thirteen items, whereas the choice of the threshold was data-driven.