Identifying and Explaining Different Poverty Trajectories Using a Group‐based Trajectory Analysis – A Case Study of South Korea

In this study, we propose a group‐based trajectory analysis to examine why and how people fall into and out of poverty despite spiralling public expenditure on anti‐poverty policies. By analyzing the poverty experiences of 1,001 low‐income households between 1999 and 2008 in Korea, we identify five groups based on their poverty trajectories: exiting, declining, slowly rising, rapidly rising and chronic. Household members in each group demonstrate heterogeneous labour market experiences, educational levels and demographic factors. The exiting group has a high proportion of full‐time workers, high school graduates, and younger and male‐headed households, whereas the chronic group has more part‐time workers, high school dropouts, and older and female‐headed households. Among the declining, slowly rising and rapidly rising groups, educational background, age and sex are factors that differentiate the poverty dynamics of household members. Lastly, a number of social policies for helping low‐income households to leave and stay out of poverty are proposed.     

Changes in household poverty among South Korean young adults: Decomposition analysis for 1995, 2006 and 2016

This study analysed the causes behind changes in the poverty rate among young South Korean households, using the 1995, 2006 and 2016 Household Income and Expenditure Survey. Labour market instability has intensified since the Asian economic crisis of 1997. This has increased the risk of poverty among young people who lack financial assets and must obtain economic security through work. The poverty rates among people aged 18–29 have steadily increased. Using Oaxaca–Blinder decomposition, this study evaluated the contribution that characteristics and structure make to poverty rate changes. The study found that the poverty rate was lower in households with a higher level of education and in households with fewer members. The study also found that the poverty rate was higher in female‐headed households and in households where fewer of its members were employed. Furthermore, the poverty rate was found to have increased among the younger population in general. These findings indicate that social policies should take into consideration the changing life circumstances of young adults.     

The Poverty Situation in Indonesia: Challenges and Progress of the Marginalized Group

This paper focuses on Indonesian poverty alleviation programs. It examines the national poverty reduction programs of cash‐based support projects for the poorest of the poor and highly marginalized groups. Indonesia was the country hardest hit by the East Asian financial crisis of the late 1990s. In 2005, Indonesia began unconditional cash transfers (UCT) for the first time – giving cash money to the poorest, poor and near‐poor targeted households. As a result, the income of the poorest households receiving UCT increased by 1.3 times compared to that of non‐recipients. The UCT can be seen as a new benchmark for Indonesia as a mechanism of a “shockbreaker” for the poor affected by the crisis. In 2007, the government of Indonesia began a trial of the conditional cash transfer (CCT) program known as the Hopeful Family Program (Program Keluarga Harapan or PKH). The CCT program was provided to poor families with an allowance conditional on their attention to their children’s education and health. With this program, women in the community gained access to new resources, in the form of the additional cash. CCT is planned to be the basis of the development of a future social security system.     

Subjective Well‐being Poverty of the Elderly Population in China

Poverty is represented not only by objective well‐being indicators which include income and consumption levels, but also by subjective indicators which reflect what a person feels. It is estimated in this article that the incidence of subjective well‐being poverty (SWP) among the Chinese rural elderly population in 2006 was 9.7 per cent, about 4.2 times as much as that of the country's total rural population in the same year, which was 2.3 per cent. Over 16 per cent of the rural elderly population and 11.5 per cent of the urban elderly population rated their life satisfaction as poor or very poor. In terms of SWP, senior citizens, especially those who live in rural areas or who are women or very aged, have become a special group among the poor in China. This article suggests that China's social policies for the new stage take into account the issue of absolute poverty and also that of SWP. A multi‐dimensional strategy system targeting the issue of poverty needs to be established, and a policy system to address poverty reduction as well as old age security and care should be implemented.     

The effects of income transfers on poverty reduction in people with disabilities in South Korea

Using a nationally representative sample dataset from the 2016 Korean Welfare Panel Study, we examined the anti‐poverty effects of income transfers in people with disabilities. Our findings indicate that in households with a person with a disability, income transfers decreased by 55.9% and 84.8% of the pre‐transfer poverty rate and poverty gap, respectively. Before income transfers, households with a person with a disability were 1.94 times more likely to be poor compared to those without a person with a disability. When income transfers were offered, the chance of being poor in the disability group was only 1.11 times higher than that in the non‐disability group. Findings from the aggregated data suggest that means‐tested income transfers were more effective in reducing poverty levels than social insurance or private income transfers. At the individual level, the provision of means‐tested programs was also more likely to decrease the likelihood of experiencing poverty than social insurance and private income transfers.     

Poverty,Government Policy and Public Opinion in Britain and Israel: A Comparative Analysis

What are the effects of public opinion on social welfare policies? To what extent is increased financial strain associated with stronger support for anti‐poverty policies? This article tests welfare state theory by comparing poverty, government policy and public opinion on poverty in the UK and Israel, based on rich and detailed comparable survey data on the conditions of the poor in both countries. The results show that, despite similar levels of income poverty and inequality, the poor have a considerably lower standard of living in Israel than the UK. There is considerably greater public support for the poor in Israel but limited government action to end poverty, whereas in the UK there is more limited public support for the poor but significant government action on poverty and exclusion. In both countries there appears to be only a limited connection between social solidarity with the poor and the political elite's rhetoric and action.     

Poverty among households in Estonia

Estonia was occupied by the Soviet Union for 50 years. Now she has restored her independence and extensive transformation has started, creating acute social problems. The economic survival of the whole society has become a main goal. The authors examine different poverty lines using the family budget data of 239 households surveyed in May and August 1992 for comparison. The analysis reveals that, whereas the wages and expenditure are low compared with unregulated prices, the share of households living under the poverty line does not reflect the real situation. The poverty among Estonian households reveals a skewed structure of expenditure that indicates exclusion from the consumption-centered way of life. Empirical evidence is given that single-earner households and households with 3 or more children face the danger of falling into deep poverty.     

Poverty eradication programs in Indonesia: Progress,challenges and reforms

This study explores the progress of and the challenges to poverty eradication programs in Indonesia by analyzing various social assistance programs and subsidies. Earlier poverty eradication programs such as food-based assistance and energy subsidies were only designed to increase households’ purchasing power. Later, the government also developed more advanced programs, such as conditional cash transfer, school assistance, and health insurance contribution assistance, to address long-run poverty by improving human capital quality. Common challenges of the existing programs remain, including inaccurate target the poor and lack of complementarity between programs. An exercise using a dynamic Computable General Equilibrium model shows that integrating programs into the conditional cash transfer reduces poverty further in rural and urban areas.     

Poverty, Social Exclusion and Social Policy in the Czech Republic

This article analyses the pattern of poverty and social exclusion in the Czech Republic and the impact of social policy on this pattern. The analysis is mostly based on data from the Czech Survey on Social Conditions of Households (2001; 27,000 respondents); Eurostat data provide a benchmark for making international comparisons. The poverty rate in the Czech Republic is among the lowest in Europe. On the other hand, material deprivation, as well as concentration of poverty within specific population groups, is high, with the unemployed facing the highest risk of poverty. Social policy measures in effect reinforce this pattern: while the benefit system is highly redistributive and effectively eliminates income poverty among households of employed persons and among pensioners, incomes of persons outside paid employment are protected less effectively. Labour market policy measures are insufficient in scope and inadequate in targeting groups which are facing the highest risk of labour market exclusion and poverty. We argue that although this practice is effective at present, it is not sustainable in the long term.     

Material hardship and depression among low‐income households in South Korea: Differences by household type

With the recent trend of growing poverty in South Korea, low‐income households, particularly elderly‐ and single‐headed households, are at high risk of experiencing material hardship and depression. However, less is known about the association between material hardship and depression by household type in Korea. Using data (N = 2,913) from the Korean Welfare Panel Study and employing several methodological approaches to address the omitted variables bias, this study examined: (i) the association between material hardship and depression among low‐income households, and (ii) whether the association differed by household type. We found that experiencing material hardship was associated with a higher likelihood of being depressed. In addition, we also found that the association between material hardship and depression differed by household type. The magnitude of the association was most pronounced in single‐ and elderly‐headed households. Policy implications to improve well‐being among low‐income households were discussed.     

大学如何改变寒门学子命运:家庭贫困、非认知能力和初职收入

社会分层和流动研究发现，在接受过大学教育的人中，社会经济地位的代际相关性降低，甚至是消失了。这一发现被看做大学教育促进社会流动的有力证据，但其作用机制往往被简单地归因于学生的高度选择性或者劳动力市场中大学文凭的符号效应，大学教育过程本身对学生人力资本提高的作用却被忽略了。本文利用一个对大学生群体为期五年的追踪调查数据，试图证明大学教育自身对家庭背景影响的削弱作用，来自于为不同社会阶层出身的学生提供一个公平开放的学习锻炼环境，帮助他们，特别是那些来自弱势家庭的学生，提高自身的非认知能力，以应对毕业后的工作。     

Child Poverty and Ecological Contexts of Deprivation and Well‐being: A Critical Review of Budgeting and Social Policy in India

In the context of global developments in the measurement of child poverty, this article critiques the limited success of the Indian government to develop a comprehensive social policy approach to address multi‐faceted deprivation suffered by Indian children. Since independence in 1947, Indian governments have focused on childhood deprivation through various programmes to improve food security, education and health. However, these programmes have functioned in siloes without any linkages to each other, along with poor budgetary commitment which has resulted in sub‐optimal policy outcomes. Based on the theoretical approaches of Amartya Sen's capability approach and Townsend's consensual approach to poverty measurement, this article highlights the intrinsic importance of child well‐being to society. To achieve its objectives, the article is organized into four main parts. First, the article provides an overview of Indian children's deprivation and poverty, and the policy approach. Second, it provides conceptual advancements globally on the measurement of child poverty and deprivation. Third, it highlights the importance of utilizing these indicators to measure child poverty in the Indian context. Fourth, it concludes with a critical analysis of children's budgets and social policy in India to highlight that the Indian government's approach towards child well‐being is not only conceptually flawed, but that its commitment is extremely poor.     

Poverty and welfare in Denmark

From 1945 to the 1980s, Denmark was characterized by the absence of poverty or at least by the lack of any debate over poverty. However, by the mid-1980s, the presence of new forms of poverty made it impossible for politicians and social scientists to neglect poverty as an issue. The re-emergence of poverty did not clarify its extent, but it is widely agreed that poverty now is related to social exclusion and marginalization from the labour market. Empirical evidence is given that shows a poverty incidence of about 8%; the extent of marginalization is calculated to include 20-25% of the population of working age. The existence of poverty can be seen as a critique of the Scandinavian welfare state project, which was developed explicitly to fight and eliminate poverty. The article concludes with a discussion of the latest welfare state development in Scandinavia and possible future trends, summarized as welfare pluralism. The further implementation of the concept of welfare pluralism holds both positive and negative prospects for the poor, since it opens up both a more differentiated yet possibly also more stratified distribution of welfare     

Poverty, welfare problems and social exclusion

This article investigates whether, and to what degree, poverty is linked to other types of welfare problems and, in larger perspective, whether the situation can be understood in terms of social exclusion. Two different measures of poverty – income poverty and deprivation poverty – and 17 indicators of welfare problems were used in the analysis. It was shown that income poverty was rather weakly related to other types of welfare problems, i.e. the most commonly used measure of poverty seems to discriminate a section of the population that does not suffer from the kinds of problems we usually assume that poverty causes. Deprivation poverty, identifying those who most often had to forgo consumption of goods and services, did correlate strongly with other types of welfare problems. Hence, people living under poor conditions do suffer from welfare problems even though this section of the population is not always captured by income poverty measures. The final analysis showed that the types of welfare problems that were most likely to cluster were deprivation poverty, economic precariousness, unemployment, psychological strain and health problems. Whether these types of accumulated welfare problems, from a theoretical perspective, can be seen as indicators of social exclusion is more doubtful.     

Poverty Reduction: The Missing Piece of Pension Reform in Latin America

Employment‐based pension plans constitute the main form of pension provision in Latin America. Although recent pension reform in the region has focused on strengthening these, old‐age poverty remains high in most countries in the region, with older people over‐represented among the poor. The article argues that ensuring old‐age support for poor and vulnerable groups involves a different set of priorities and options for pension reform, namely a strong focus on tax‐financed public cash transfer programmes. Cash transfer programmes focused on poor older people are the missing piece of pension reform in the region. The article examines the experience of the handful of countries with such programmes in place, and draws the lessons for the future of social policy in the region.     

Tentative evaluation of the impact of public transfers on the dynamics of poverty: The case of Russia

The aim of this article is to offer a dynamic impact analysis of the system of transfers in Russia, based on a comparison of indicators of well‐being measured before and after state intervention. We shall begin by assessing the impact of public transfers on different forms of poverty and demonstrate that, while the system is seeing a fall in chronic and transitional poverty, there is very little movement between categories. We shall then evaluate the capacity of the system to keep non‐poor households from falling into poverty (protection) and to help poor households escape poverty (promotion). Several studies suggest that the Russian system of transfers is well suited to protection but has proved incapable of attaining the goal of promotion. In other words, in its current form it cannot claim to be an effective tool to combat long‐term poverty.     

Events that Trigger Poverty Entries and Exits*

Objective. This article examines how events—such as changes in household composition, employment status, disability status, and economic conditions—affect poverty entries and exits. We also examine whether the role these events play in poverty transitions differs in the pre‐ and post‐welfare‐reform periods. Methods. The analysis uses discrete‐time multivariate hazard models along with monthly, longitudinal data from the 1988, 1990, and 1996 panels of the Survey of Income and Program Participation (SIPP). Results. Analyses show that many events are related to the likelihood of entering and exiting poverty. Of the trigger events examined, individuals living in households that experience a loss or gain of employment are the most likely to enter and exit poverty. We also find that changes in employment are more important in the 1996 to 1999 time period—after welfare reform—than in the 1988 to 1992 time period—prior to welfare reform. Finally, changes in household composition, disability status, and educational attainment are found to play a role in throwing people into poverty and helping them exit from poverty in both time periods. Conclusions. There is no single path into or out of poverty, suggesting that multiple policies can be considered to help alleviate poverty.     

Increasing Poverty in Japan: Social Policy and Public Assistance Program

Until quite recently, the problem of poverty was largely “invisible” in Japan, since the poverty rate was relatively low and issues surrounding poverty received little attention. However, the recent financial and economic crisis caused such an increase in the poverty rate that it could no longer be ignored. When the government announced a poverty rate for the first time in 2009 (15.7% for the year 2007), the nation was shocked. Poverty is now widely discussed and “visible” in Japan, and Japanese policy makers have been forced to formulate and implement strategies to help the poor. The contribution of changing international and national economic and social conditions to increased poverty, including population changes in Japan, is also noted. This paper aims to provide an overview of the poverty situation and the nature of social policy that addresses poverty. It describes in particular the national public assistance program, which is a major public income‐support program and is considered as the ‘last safety net’ available for the poor in Japan. In conclusion, the paper explores the key problems faced by the program and discusses the challenges associated with tackling a dramatic increase in poverty.     

Poverty among households with children: a comparative study of Norway and Germany

The purpose of this study was to compare poverty among lone parent households and couple households with children in Norway and Germany. The study applied three different measurement strategies: income poverty, material deprivation and reception of social assistance. We found that income poverty and material deprivation rates are higher in Germany than in Norway and are also higher for lone parents than for couples with children. Our analysis of the reception of social assistance shows a different pattern in which both Norwegian and German lone parents frequently receive social assistance. The results show that the different dimensions of poverty are not independent of one another, nor do they wholly overlap. Household characteristic variables, factors influencing labour market status and educational levels also seem to influence the risk of experiencing poverty.     

Racial Contexts' Enduring Influence on Attitudes Toward Poverty*

Objective. This article's objective is to reply to Rodgers (2009) and to expand on the claim that living near poor African Americans influences Americans' views of poverty. Methods. It first presents additional analyses of the 2001 Poverty in America Survey demonstrating that respondents' racial contexts are consistent predictors of attitudes toward poverty. Other contextual variables are not. Results. The article then presents results from an exogenous shock—the post‐Katrina migration—to reinforce its claims. Despite the widespread understanding that the evacuees were not to blame for their situation, their arrival in Houston and Baton Rouge led to more individualistic explanations of poverty. Conclusion. This article concludes that even in unlikely cases, racial contexts influence attitudes toward poverty.