Naslov
Effectiveness of social assistance and minimum income schemes in Croatia and Slovenia as a poverty alleviation tool: a comparative view

Autori
Babić, Zdenko

Vrsta, podvrsta i kategorija rada
Sažeci sa skupova, neobjavljeni rad, ostalo

Skup
10th ESPANet Annual Conference

Mjesto i datum
Edinburgh, Ujedinjeno Kraljevstvo, 06.09.2012. - 08.09.2012

Vrsta sudjelovanja
Predavanje

Vrsta recenzije
Nije recenziran

Ključne riječi
social assistance; minimimum income; poverty alleviation
(social assistance; minimum income; poverty alleviation)

Sažetak
Research results in Croatia show that the system of social transfers contributes to both poverty and economic inequality reduction. Without social transfers, the poverty rate in Croatia would have been 25.5 % ; when social transfers are included in income in 2009, the poverty rate drops to 18%. Social assistance is the best-rated type of social transfer, using the criteria of targeting and possible poverty reduction impact. According to the conducted research, 70% of the total social assistance transfers in 2008 were directed toward the lowest income quintile but only 12% of the poorest fifth were receiving social assistance. However, effects on the reduction of poverty rates are limited due to the low coverage rate and low levels of social assistance benefits. The at-risk-of-poverty rate in 2009 was 18%, but only 2.1% of individuals were social assistance beneficiaries in Croatia. Economic recession in 2009 contributed to increases in the poverty rate, which passed 20 percent for the first time in 2010. The main hypothesis of the paper is that relatively high efficiency in the social assistance system in Croatia (targeting social assistance towards those mostly in need) is combined with low effectiveness of social assistance, resulting in inadequate poverty alleviation effects. Comparative analysis is used to compare at-risk-of-poverty rate dynamics, social assistance systems and benefit levels in Croatia and Slovenia. Measures such as adequacy rate (social assistance benefit as a percentage of the poverty line), coverage rate (share of social assistance beneficiaries in at-risk-of-poverty rate population), and spending on social assistance as a GDP share are used to compare the ‘poverty protection effort’ in Croatia and Slovenia. Indicators of economic development are also included to establish whether the Slovenian lower at-risk-of-poverty rate stems from higher level of economic development, from higher ‘protection effort’ and higher benefit levels or from higher effectiveness of the minimum income scheme in Slovenia. The paper ends with concluding remarks and policy implications.

Izvorni jezik
Engleski

Znanstvena područja
Ekonomija, Socijalne djelatnosti

POVEZANOST RADA