The prevalence and composition of asset poverty in Canada: 1999, 2005, and 2012

A household is considered asset poor if its assets (financial assets or net worth, taken separately) are insufficient to maintain well‐being at a low‐income threshold for 3 months. We provide the first national‐level estimates of asset poverty for Canada, using the 1999, 2005, and 2012 cycles of the Survey of Financial Security, and juxtapose these estimates with income poverty. The analysis provides new insight into economic insecurity by showing that asset poverty rates are consistently two to three times higher than income poverty rates. In addition to the prevalence of asset poverty across socio‐demographic groups, we analyzed how the composition of the poor change over time. Age and geography shape the risk for asset poverty in distinct ways. We found that while education appears to play a comparable role in shaping both income poverty and asset poverty, immigration places Canadians at a relatively higher risk of income poverty but not asset poverty. Key Practitioner Message: ? Practitioners ought to consider assets as well as income in assessing economic vulnerability; ? Asset poverty levels are 2–3 times higher than income poverty levels; ? Certain groups (e.g., immigrants) may be income poor but maintain sufficient assets.     

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.     

Social protection as a mechanism for family protection in sub‐Saharan Africa1

Mokomane Z. Social protection as a mechanism for family protection in sub‐Saharan Africa In sub‐Saharan Africa (SSA), the extended family has for generations been the basis for the sustenance of society, offering material, social, emotional and care‐giving support for its members in times of need and crisis. Over the years, however, this institution has been affected by demographic and socio‐economic transformations that have continued to take place in the region. This article illustrates how these changes have contributed to family circumstances that are characterised by economic fragility, debilitating poverty and weakened family support for household chores and care‐giving responsibilities. The article argues that the development and provision of more comprehensive social protection policies and programmes in SSA can help mitigate the impact of the changes on families and their members.     

Single Parent Families and Social Policies in Australia 1974–1982

Of the two major sources of income support for single parent families, social security transfers and earned income, there has been an increase in the proportion of families dependent on social security in the period 1974–1982, a period of recession and high unemployment. Over this period the value of income support for supporting parents has declined because of the non-indexation of the child components of pensions and benefits. This article identifies disincentives to the parents' labour force participation: lack of post-school qualifications, shortage of jobs, scarcity of affordable child care and the low income retention rates imposed upon the extra earnings of pensioners and beneficiaries.     

Aiming to keep poor Mexican families at the breadline (but no higher): The effects of minimum wage,tax, and social policy changes between 1994 and 2012

Welfare policy in Mexico has been transformed in recent decades. During the years of the import‐substitution industrialization economic strategy and the hegemonic party political regime, social policy was based on social insurance programs of limited coverage to urban formal sector workers and their families. In the mid‐1990s, an unprecedented expansion of social protection through social assistance programs was triggered, along with social insurance reform. This article assesses the effects at the household level of social policy changes, in combination with changes in taxes and the minimum wage, which also impact the welfare of the population. The research applies “model families” to establish effects of social, tax, and minimum wage policy changes across population groups, and their combined potential to combat poverty. Findings show that although taxation and social policy changes increased redistribution towards poor families, their capacity to lift and keep them above poverty thresholds was limited by the drop in the real value of the minimum wage and by strict targeting mechanisms, which exclude families that do not meet eligibility criteria but still fall below poverty lines. Social policy expansion merely subsidized the drop in real minimum wage, and poor families at best remained at similar income levels. Hence, the logic of the design of welfare policy changes can be characterized as aiming to keep poor families on the breadline, but no higher.     

Parenting Stress and Perceived Family Functioning of Chinese Parents in Hong Kong: Implications for Social Work Practice

This article reports the results of a telephone survey (n = 1002) conducted in November 2008, which aimed to identify parenting stress and perceived family functioning of Chinese parents in Hong Kong; to explore the effects of the parents’ socio‐demographic characteristics (gender, family income, education and family structure) on the aforementioned stress and functioning variables; and to examine the interrelationship among these characteristics and the two variables in question. Results showed that the reported parenting stress was at average level, while the perceived family functioning was slightly below average. The results also indicated that the parenting stress of mothers, single parents, the low‐income and the less‐educated was higher than that of fathers, parents of nuclear and extended families, the high‐income and the better‐educated. Socio‐demographic characteristics except the parent’s gender had similar effects on perceived family functioning. Higher parenting stress was associated with lower family functioning, and explained a larger variance in the perceived family functioning than the socio‐demographic characteristics taken alone. The results of the study have provided empirical support regarding the interrelationships among the vulnerable groups in society, parenting stress and perceived family functioning. Implications of the study for social work practice are discussed.     

An Analysis of Selected Pension and Health Care Initiatives for Informal Sector Workers in India

India's demographic trends portend moderately rapid ageing of the population. This, combined with the limited coverage of pension and health care programmes in terms of population, types of risks covered, and benefit levels has led to greater urgency in extending the coverage and reform directions of the current pension and health care programmes. This article analyses three pension and health care initiatives in India directed at the workers and their families engaged in the informal sector. The first initiative, India's National Social Assistance Programme (NSAP), undertaken in 1995 provides budget‐financed transfers targeted at older persons. It is funded by the Union government but implemented by the state governments. The second initiative, called Swavalamban, was started in 2010, but has been subsumed under Atal Pension Yojana (APY), in the 2015–16 budget. Both are voluntary co‐contributory initiatives aimed at providing access to retirement income to low‐income individuals (government co‐contributing with the individual). Unlike Swavalamban, the APY initiative has provisions for minimum guaranteed pension benefits, with contributions required by the members adjusted accordingly. Effectiveness in increasing enrollment and in sustaining contributions over a longer period will impact on the extent of retirement income security obtained by the members. The third initiative, Rashtriya Swasthya Bima Yojana (RSBY), is insurance‐based and aims to provide hospital care to low‐income households. The article argues that for improving outcomes of these initiatives, more effective implementation, greater fiscal resources, and an integrated and systemic approach which is aided by technology‐enabled platforms such as Aadhaar, will be needed.     

Immigration,living arrangement and the poverty risk of older adults in Hong Kong

Using 2011 census data, this study investigated how living arrangement affects disparities in poverty between older adults (aged 65 and older) who migrated to Hong Kong from Mainland China and those who were born in Hong Kong. Our sample consisted of 29,987 immigrants and 9,398 natives, all of whom were ethnic Chinese and living in Hong Kong at the time of the census. We found higher poverty rates among older immigrants than among natives, a disparity that persisted even after adjusting for living arrangement, human capital characteristics, assimilation‐related variables, household composition and demographic characteristics. We also found that living arrangement moderated the impact of immigrant status on the poverty risk among older adults, and that the impact was due mainly to the number of earners in the household. The implications of our results with respect to poverty among older adults and anti‐poverty measures are discussed.     

Following Families: Working Lone‐Mother Families and their Children

Analysis of poverty dynamics based on large‐scale survey data shows that there is limited mobility across the income distribution for most individuals and families. This includes lone parents, who are one of the groups most likely to stay poor over time. This high income poverty risk is reduced for those lone parents who are in employment and who receive state financial support through tax credits to supplement their wages. But income security in work can be difficult to achieve. This article reports on longitudinal qualitative research which has involved repeat interviews with lone mothers and their children over a period of three to four years. The analysis explores the experiences of sustaining employment while living on a low, but complex, income and highlights the challenges faced in seeking financial security in this context.     

Structural pressures, social policy and poverty

The purpose of this article is twofold. The first aim is to examine 15 OECD countries from the point of view of the so-called third-generation studies, analysing if the development of poverty and income transfers has been uniform in countries classified under the same welfare state models. This has been done to test how appropriate it is to use welfare state models as an analytical tool in comparative welfare state research. The second aim is to examine the effect of different structural factors on poverty and income transfers. Obtained results indicate that two demographic variables studied behave somewhat differently. The share of older people in the population is – not very surprisingly – connected to an increase in income transfers. In the case of younger population groups, the results are the opposite. The results show that the greater the proportion of older people in the population, the lower the poverty rates. Social policy has in many countries consisted primarily of pension policy, and investments in the elderly population are now beginning to bear fruit. Good pension schemes diminish the immediate poverty risk of older people. As a consequence of their increased well-being, the overall poverty rate will fall. In addition to demographic factors, the results indicate that the unemployment rate is connected, on the one hand, to growth in income transfers and, on the other hand, also to increases in poverty. However, unemployment's effect on poverty is not straightforward. The direct effect is indeed an increase in poverty but, if income transfers are taken into account, the indirect effect is a decrease in poverty, since unemployment increases income transfers (unemployment benefits), which on their side alleviate poverty.     

Political Threat and Immigration: Party Identification,Demographic Context,and Immigration Policy Preference*

Objective. I propose that the effect of partisanship on views on immigration is context dependent. I argue that Republicans in counties experiencing high levels of immigration are more likely to support new immigration restrictions in contrast to Democrats and Independents than Republicans in counties with a relatively small foreign‐born population, and I suspect this is the case because Republicans in high‐immigration counties feel politically threatened by the foreign‐born residents, who are more likely to support Democratic candidates. Method. To test this theory, I create hierarchical logit models of views on immigration policy in which individual party identification interacts with the size of the local immigrant population. Individual‐level data were drawn from the 2004 National Annenberg Election Survey and county‐level contextual variables from the U.S. Census Bureau. Results. I find that the effect of partisanship on individual views on immigration is context dependent; native‐born Republicans are more likely to support immigration restrictions when their local community has a large immigrant population and Democrats less likely. Conclusion. In areas where immigration levels are low, partisanship is a weak predictor of immigration views. As the foreign‐born population increases, however, the views of Republicans, Democrats, and Independents increasingly diverge.     

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.     

Thinking outside the box: Strategies used by low‐income single mothers to make ends meet

Recent changes to Australia's welfare system have impacted low‐income single parents who have been moved from a family payment, Parenting Payment Single, to a lower payment directed at individuals looking for work, Newstart Allowance. Research has shown that single‐parent families are particularly vulnerable to the risk of financial deprivation and poverty, and this recent welfare payment change further compounds the often dire financial situation for these families. Twenty‐three in‐depth interviews were conducted with low‐income single mothers who had been recently moved off the Parenting Payment Single and on to Newstart Allowance. As a result of this payment change and the decreased welfare assistance, the women spoke of needing to develop new strategies to compensate for their decreased income. This article focuses on the strategies these families developed and employed, exploring the women's ability to be resourceful in times of welfare changes.     

Do peer effects mediate the association between family socio‐economic status and educational achievement?

Differences in levels of academic achievement according to socio‐economic status (SES), and parental education in particular, have been a persistent feature of Australian education systems. Young people with highly educated parents are more likely than their peers with low‐educated parents to attain high levels of achievement at school. Students with low levels of achievement are less likely than their high achieving peers to complete Year 12 and are more likely to experience negative post‐school outcomes. The SES of the neighbourhood, and in particular, the school attended, has also been found to have an effect on levels of both academic achievement and attainment. For this paper, we conduct analyses of National Assessment Program – Literacy and Numeracy test scores for four cohorts of secondary school students attending government schools in the Australian Capital Territory to examine the associations between parental education, school attended and levels of educational achievement. Our findings show that students with university‐educated parents achieve at much higher levels than their peers with low‐educated parents and that attending a school with a higher proportion of students from educationally disadvantaged families has a negative effect on educational achievement.     

Second‐Generation Immigrants? The “2.5 Generation” in the United States*

Objective. This article takes issue with the way that second‐generation immigrants have been traditionally defined. In most studies, respondents are considered to be “second generation” if they are born in the United States and if at least one of their parents was born outside the United States. This article considers whether the experiences and outcomes of those with one U.S.‐born parent and one foreign‐born parent (the “2.5 generation”) are different from those with no U.S.‐born parents (the “2.0 generation”) and those with two native‐born parents (the “third generation”). Methods. The article analyzes data from the March Current Population Survey (CPS) from 1999 to 2001. Results. The evidence indicates that the 2.5 generation is a numerically significant population, and that it varies from other groups in age structure, racial identification, educational attainment, and income. Conclusions. In studying the U.S.‐born children of immigrants, scholars should avoid lumping together the 2.5 generation with those who have no native‐born parents. The members of the 2.5 generation also should be treated as distinct from those born in the United States to two native‐born parents.     

Working poverty in Michigan, 1998/1999 and 2007/2008: Changes in the magnitudes and policy and socio-demographic determinants

Michigan has undergone enormous labor market changes since the 1990s affecting employment, income, and poverty. This paper examines changes in poverty among working families and their policy-related and socio-demographic determinants between 1998/1999 and 2007/2008 in Michigan. Findings suggest the rates of ‘poverty’ and ‘near poverty’ to be between 5 and 19% among working families, with slightly higher rates for the latter period. Public transfers combining taxes and means-tested supports, albeit making some impact among poor families with children, were unable to lower these rates. While the major socio-demographic characteristics of poverty and near poverty including large families with children and young, never married, single mother, and immigrant householders apply to working families, the roles of gender, race, marital status, and education manifest through many policy-related variables such as work hours, wages, and transfer incomes. These findings have important implications for understanding working poverty in Michigan and beyond.     

Poverty in the Kingdom of Saudi Arabia: An Exploratory Study of Poverty and Female‐headed Households in Jeddah City

This article reports an exploratory study in Jeddah City, Saudi Arabia, which assembled data and information from government and non‐governmental organizations about poverty and poverty alleviation policies. A list of poor families which were receiving benefits from the Social Security Department and charitable associations in Jeddah City was constructed, from which female‐headed households were identified and classified depending on the circumstances of the female head. The article describes the social, cultural and demographic characteristics of poor female‐headed households in Jeddah. The article also uses the results of interviews with 13 poor female heads of households to analyse aspects of their everyday lives. This evidence is used to discuss the ability of the Saudi state's income support system to address poverty as the country undergoes economic and social modernization.     

Why Did Poverty Become Less Geographically Concentrated in the 1990s?*

Objective. After increasing sharply in the 1970s and 1980s, the number of high‐poverty neighborhoods in the United States unexpectedly and dramatically declined in the 1990s. This article examines the roles that residential and income mobility played in this decline. Methods. Using geocoded data from the Panel Study of Income Dynamics, this study analyzes changes during the 1990s and early 2000s in: (1) patterns of residential mobility between high‐poverty and lower‐poverty neighborhoods; and (2) patterns of income mobility for residents who remained in high‐poverty neighborhoods. Results. Both patterns of residential and income mobility changed in the 1990s and early 2000s. While patterns of residential migration to high‐poverty neighborhoods were largely unchanged over this period, patterns of residential migration from high‐poverty neighborhoods changed significantly, with poor individuals—especially poor blacks—becoming more likely to relocate from high‐poverty to lower‐poverty neighborhoods. Patterns of income mobility for residents who remained in high‐poverty neighborhoods also changed significantly, with nonpoor residents becoming less likely to become poor and poor residents becoming more likely to exit poverty. Conclusion. Poverty rates in high‐poverty neighborhoods fell primarily because of the net upward income mobility of residents who remained in these neighborhoods.     

Social income transfers and poverty: A cross‐country analysis for OECD countries

Caminada K, Goudswaard K, Koster F. Social income transfers and poverty: a cross‐country analysis for OECD countries Poverty alleviation is an important policy objective in developed welfare states. This article reports on a study of the association between social transfer policies and poverty. It has been claimed in several studies that based on a simple bivariate approach, high social effort goes along with low poverty levels. Empirical studies have also found that factors such as demographic and economic conditions may also have an influence on poverty, affecting the relationship between social spending and poverty. In the present study, we empirically analysed the impact of social expenditure on poverty for the period 1985–2005, and in contrast to previous research, demographic and macroeconomic differences across countries were controlled for. Quite a strong negative relationship was still found between the level of social expenditure and poverty. Ageing and unemployment rates were found to have some explanatory power but without affecting the association between social transfers and poverty. Thus, the multivariate approach chosen in this study confirms the results of earlier research.