European Approaches to Poverty and Social Exclusion Anne Bakilana World Bank.
-
Upload
angel-knight -
Category
Documents
-
view
219 -
download
1
Transcript of European Approaches to Poverty and Social Exclusion Anne Bakilana World Bank.
European Approaches to Poverty and Social
Exclusion
Anne BakilanaAnne Bakilana
World BankWorld Bank
Social Exclusion and the EU’s
Social Inclusion Agenda The European Union embraced the social The European Union embraced the social
inclusion concept in the mid 1990s as a way inclusion concept in the mid 1990s as a way of tackling poverty and other social of tackling poverty and other social challenges facing its member states.challenges facing its member states.
The EU agenda has resulted in common The EU agenda has resulted in common objectives to respond to social exclusion as objectives to respond to social exclusion as described in National Action Plans against described in National Action Plans against poverty and social exclusion.poverty and social exclusion.
Other countries and international Other countries and international organizations have also adopted the concepts organizations have also adopted the concepts of social exclusion and inclusion.of social exclusion and inclusion.
What is social exclusion?The EU’s Definition:
““a process whereby certain individuals are a process whereby certain individuals are pushed to the edge of society and prevented pushed to the edge of society and prevented
from participating fully by virtue of their from participating fully by virtue of their poverty, or lack of basic competencies and poverty, or lack of basic competencies and
life long learning opportunities, or as a result life long learning opportunities, or as a result of discrimination. This distances them from of discrimination. This distances them from
job, income and education and training job, income and education and training opportunities, as well as social and opportunities, as well as social and
community networks and activities. They community networks and activities. They have little access to power and decision have little access to power and decision
making bodies and thus feel powerless and making bodies and thus feel powerless and unable to take control over the decisions unable to take control over the decisions
that affect their day to day lives” (European that affect their day to day lives” (European Commission 2004). Commission 2004).
UK government’s definition of social exclusion
‘‘social exclusion happens when people or places social exclusion happens when people or places suffer from a series of problems such as suffer from a series of problems such as unemployment, discrimination, poor skills, low unemployment, discrimination, poor skills, low incomes, poor housing, high crime, ill health and incomes, poor housing, high crime, ill health and family breakdown. When such problems family breakdown. When such problems combine they can create a vicious cycle. Social combine they can create a vicious cycle. Social exclusion can happen as a result of problems exclusion can happen as a result of problems that face one person in their life. But it can also that face one person in their life. But it can also start from birth. Being born into poverty or to start from birth. Being born into poverty or to parents with low skills has a major influence on parents with low skills has a major influence on future life chances.’future life chances.’
UK’s Department for International Development (DFID)’ s definition
a process by which certain groups are systematically a process by which certain groups are systematically disadvantaged because they are discriminated disadvantaged because they are discriminated against on the basis of their ethnicity, race, against on the basis of their ethnicity, race, religion, sexual orientation, caste, descent, religion, sexual orientation, caste, descent, gender, age, disability, HIV status, migrant status gender, age, disability, HIV status, migrant status or where they live. Discrimination occurs in public or where they live. Discrimination occurs in public institutions, such as the legal system or education institutions, such as the legal system or education and health services, as well as social institutions and health services, as well as social institutions like the household. People are excluded by like the household. People are excluded by institutions and behavior that reflect, enforce and institutions and behavior that reflect, enforce and reproduce prevailing social attitudes and values, reproduce prevailing social attitudes and values, particularly those of powerful groups in society. particularly those of powerful groups in society.
Main features of the various definitions of social
exclusion the various concepts of exclusion imply a the various concepts of exclusion imply a
process, process, individuals are excluded from what other individuals are excluded from what other
members of a society are participating in, members of a society are participating in, there is no clear definition or defined there is no clear definition or defined
measures of social exclusion, measures of social exclusion, social exclusion is still a contested term; and social exclusion is still a contested term; and
despite its wide use in European research, despite its wide use in European research, debates and policies, its definition and debates and policies, its definition and usage varies significantly from person to usage varies significantly from person to person and has continually evolved over person and has continually evolved over time.time.
From Poverty to Poverty and Social Exclusion
The social exclusion concept originated in France about 30 The social exclusion concept originated in France about 30 years ago;years ago;
The term was mostly used to describe individuals who were The term was mostly used to describe individuals who were not covered by the social security systems of the time not covered by the social security systems of the time (these included single mothers, substance abusers and drug (these included single mothers, substance abusers and drug addicts; and people with physical and mental disabilities);addicts; and people with physical and mental disabilities);
Over time this grew to also include the unemployed, the Over time this grew to also include the unemployed, the homeless, dissatisfied youth, the old, immigrants, etc. homeless, dissatisfied youth, the old, immigrants, etc.
In the late 1990s, the UK’s Labor government put a spotlight In the late 1990s, the UK’s Labor government put a spotlight on the terms social exclusion and social inclusion. on the terms social exclusion and social inclusion.
UK Govt established a Social Exclusion Unit whose main task UK Govt established a Social Exclusion Unit whose main task is to implement government policies on inclusion and is to implement government policies on inclusion and regeneration activities. regeneration activities.
The UK Government’s Social Exclusion Unit
Initially set up in 1997 first under the Cabinet Unit; and Initially set up in 1997 first under the Cabinet Unit; and then later moved to the Office of the Deputy Prime then later moved to the Office of the Deputy Prime Minister in 2002. Minister in 2002.
There is a Minister for Social Exclusion who is a Minister There is a Minister for Social Exclusion who is a Minister under the Cabinet Office. under the Cabinet Office.
Consultations between the Prime Minister, Deputy Prime Consultations between the Prime Minister, Deputy Prime Minister, various government departments and other Minister, various government departments and other stakeholders decide on work program. The Unit’s work stakeholders decide on work program. The Unit’s work includes: includes:
i) Policy Reports: Based on consultations with people who i) Policy Reports: Based on consultations with people who have the experience of being excluded; and also have the experience of being excluded; and also includes wide participation beyond government includes wide participation beyond government departments including local authorities, business departments including local authorities, business representatives and the NGO sector; representatives and the NGO sector;
ii) Research and Strategy: To understand drivers of social ii) Research and Strategy: To understand drivers of social exclusion so that policies can not only tackle the exclusion so that policies can not only tackle the problems but also prevent future exclusion; and problems but also prevent future exclusion; and
iii) Implementing Policy and Supporting Best Practices: iii) Implementing Policy and Supporting Best Practices: promotes best practices from undertaken projects. promotes best practices from undertaken projects.
Why deal with social exclusion?
Social exclusion experts argue that:
social exclusion is wider than the social exclusion is wider than the traditional concept of poverty;traditional concept of poverty;
it is about processes that lead to non-it is about processes that lead to non-participation in societies’ activities;participation in societies’ activities;
it is multidimensional;it is multidimensional; it embraces concepts of vulnerability to it embraces concepts of vulnerability to
poverty;poverty; one does not have to be poor to be one does not have to be poor to be
socially excluded;socially excluded; non participation in societies’ activities non participation in societies’ activities
is as critical as poverty.is as critical as poverty.
Who are the socially excluded?Examples from new EU states’
analyses
Those on low incomes;Those on low incomes; The unemployed;The unemployed; Individuals with disability; Individuals with disability; Non citizens; ethnicity minorities; Non citizens; ethnicity minorities;
immigrants; immigrants; Families with many children; Families with many children; The homeless and those in poor The homeless and those in poor
housing; housing; The young; the old; children;The young; the old; children; Women.Women.
Examples of socially excluded groupsExamples of socially excluded groups
PolandPoland LithuaniaLithuania LatviaLatvia EstoniaEstonia
UnemployedUnemployed Low income families; Low income families; long term unemployedlong term unemployed
Long term Long term unemployedunemployed
Lowly paid workers; Lowly paid workers; long term long term unemployedunemployed
DisabledDisabled Disabled;Disabled; Disabled; children Disabled; children with disabilitieswith disabilities
DisabledDisabled
The Roma; The Roma; Immigrants Immigrants and refugees; and refugees; prisoners prisoners
Ethnic minorities; Ethnic minorities; asylum seekers; victims asylum seekers; victims of violence and of violence and trafficking; prostitution; trafficking; prostitution; ex prisoners;ex prisoners;
Ethnic minorities;Ethnic minorities; Ex prisoners; Ex prisoners; Trafficking victimsTrafficking victims
Russian speaking Russian speaking populationspopulations
Families Families with 3+ with 3+ childrenchildren
Single parents; Single parents; Families with 3+ Families with 3+ children; Orphaned children; Orphaned children; children children; children without care; youth and without care; youth and children from excluded children from excluded familiesfamilies
Low income h/holds Low income h/holds with 3+ children; with 3+ children; single parent h/holdssingle parent h/holds
Single families; Single families; families with 3+ families with 3+ childrenchildren
Farmers; Farmers; Rural Rural residents; residents; HomelessHomeless
The homeless; The homeless; Farmers and rural Farmers and rural populationspopulations
The homelessThe homeless The homeless; Lack The homeless; Lack of private housing.of private housing.
T he AgedT he Aged PensionersPensioners The Old, Children and The Old, Children and Youth in careYouth in care
YouthYouth
Victims of sexual Victims of sexual violenceviolence
Women who want to Women who want to return to work after return to work after childbearingchildbearing
Women, the Women, the homelesshomeless
Manifesto to eradicate poverty and to fight Manifesto to eradicate poverty and to fight social exclusion in member states by 2010. social exclusion in member states by 2010.
(The European Council of Lisbon, March 2000) (The European Council of Lisbon, March 2000)
A consensus to eradicate poverty and to fight A consensus to eradicate poverty and to fight social exclusion in member states by 2010;social exclusion in member states by 2010;
The following policy objectives were adopted:The following policy objectives were adopted:1) To facilitate participation in employment 1) To facilitate participation in employment and access by all to the resources, rights, and access by all to the resources, rights, goods and services;goods and services;2) To prevent the risks of exclusion;2) To prevent the risks of exclusion;3) To help the most vulnerable;3) To help the most vulnerable;4) To mobilize all relevant bodies.4) To mobilize all relevant bodies.
What is Social Inclusion?What is Social Inclusion?
the process that will enable every the process that will enable every person in society to participate in person in society to participate in normal activities of societies they normal activities of societies they
live in. live in.
National Action Plans for National Action Plans for Social InclusionSocial Inclusion
individual country’s analyses of what individual country’s analyses of what groups were socially excluded; groups were socially excluded;
describe specific actions to be taken describe specific actions to be taken in order to become more inclusive. in order to become more inclusive.
Counting the Socially Excluded: The Laeken European Council Counting the Socially Excluded: The Laeken European Council (December 2001) endorsed common statistical indicators of social (December 2001) endorsed common statistical indicators of social
exclusion and poverty that will serve as key elements in monitoring exclusion and poverty that will serve as key elements in monitoring progress in the fight against poverty and social exclusion (Laeken progress in the fight against poverty and social exclusion (Laeken
Indicators) Indicators) At-risk-of-poverty rate by gender and various age groupsAt-risk-of-poverty rate by gender and various age groups At-risk-of-poverty rate by most frequent activity and by gender and selected age groups At-risk-of-poverty rate by most frequent activity and by gender and selected age groups At-risk-of-poverty rate by household type At-risk-of-poverty rate by household type At-risk-of-poverty rate by accommodation tenure status and by gender and selected age At-risk-of-poverty rate by accommodation tenure status and by gender and selected age
groups groups At-risk-of-poverty rate by work intensity of the household At-risk-of-poverty rate by work intensity of the household At-risk-of-poverty threshold illustrative values At-risk-of-poverty threshold illustrative values Inequality of income distribution s80/s20 income quintile share ratioInequality of income distribution s80/s20 income quintile share ratio Persistent at-risk-of-poverty rate by gender and selected age groups Persistent at-risk-of-poverty rate by gender and selected age groups Relative median at-risk-of-poverty gap by gender and selected age groupsRelative median at-risk-of-poverty gap by gender and selected age groups Regional cohesion by gender (variation in regional employment rates)Regional cohesion by gender (variation in regional employment rates) Long term unemployment rate by gender and selected age groups Long term unemployment rate by gender and selected age groups Persons living in jobless households by gender and selected age groups Persons living in jobless households by gender and selected age groups Early school leavers not in education or training by gender Early school leavers not in education or training by gender Life expectancy at birth by gender Life expectancy at birth by gender Self defined health status by income level by gender and age Self defined health status by income level by gender and age Dispersion around the at-risk-of-poverty threshold by gender and selected age groups Dispersion around the at-risk-of-poverty threshold by gender and selected age groups At-risk-of-poverty rate anchored at one moment in time by gender and selected age At-risk-of-poverty rate anchored at one moment in time by gender and selected age
groups groups At-risk-of-poverty rate before cash social transfers by gender and selected age groups At-risk-of-poverty rate before cash social transfers by gender and selected age groups Inequality of income distribution Gini coefficient Inequality of income distribution Gini coefficient Persistent at-risk-of-poverty rate (alternative threshold) by gender and selected age Persistent at-risk-of-poverty rate (alternative threshold) by gender and selected age
groupsgroups Long term unemployment share by gender and age Long term unemployment share by gender and age Very long term unemployment rate by gender and age Very long term unemployment rate by gender and age In-work at risk of poverty rate by gender and ageIn-work at risk of poverty rate by gender and age
From counting the excluded to From counting the excluded to measuring exclusion: If social measuring exclusion: If social exclusion is a process, exclusion is a process, can we measure it?can we measure it?
How can we capture the processes that How can we capture the processes that leads to exclusion?leads to exclusion?
Given its multidimensional focus, can this Given its multidimensional focus, can this be done in one discipline of study?be done in one discipline of study?
Given the very generous definition of Given the very generous definition of exclusion, what should we focus on?exclusion, what should we focus on?
Given the lack of a single definition of Given the lack of a single definition of exclusion, what should we be analyzing?exclusion, what should we be analyzing?
The EU Social Inclusion Study:The EU Social Inclusion Study:An attempt to measure An attempt to measure determinants of social determinants of social
exclusionexclusion extending the debate outside discussions extending the debate outside discussions
about monetary deprivation and poverty about monetary deprivation and poverty adopted the capability deprivation which says adopted the capability deprivation which says
that due to social and economic factors that due to social and economic factors certain individuals in society may never reach certain individuals in society may never reach their full potential their full potential
individuals who are deprived of certain individuals who are deprived of certain capabilities could be excluded from capabilities could be excluded from participating in the labor force, consumption, participating in the labor force, consumption, wealth accumulation and from social wealth accumulation and from social functionsfunctions
Recognize that jobs and income; education and Recognize that jobs and income; education and training opportunities; social, community networks training opportunities; social, community networks
and activities are central to the process of and activities are central to the process of inclusion. inclusion.
Go beyond quantifying the percent of people that Go beyond quantifying the percent of people that lack financial means (or that do not consume lack financial means (or that do not consume
enough) as a proportion of the total population.enough) as a proportion of the total population.
Social exclusion encompasses more than poverty, Social exclusion encompasses more than poverty, but, poverty is a component of Social exclusionbut, poverty is a component of Social exclusion
Profile the proportion of Profile the proportion of the population that is the population that is not included in not included in society’s production, society’s production, consumption, political consumption, political engagement and engagement and social interaction.social interaction.
Excluded from Financial Capital Excluded from Financial Capital
Those who are excluded from Those who are excluded from access to earnings and wealthaccess to earnings and wealth
Excluded from Human CapitalExcluded from Human Capital
Those with no or very limited Those with no or very limited Education, skillsEducation, skills
Excluded from Physical Capital Excluded from Physical Capital
Do not own any Housing or Do not own any Housing or LandLand
Excluded from Social Capital Excluded from Social Capital
Those with limited friends, Those with limited friends, family, community family, community
interactions and little interactions and little political empowermentpolitical empowerment
Three Forms of CapitalThree Forms of Capital
Financial CapitalFinancial CapitalFor this exercise, all those with the means to earn financial For this exercise, all those with the means to earn financial
capital through employment, farms, rental income were capital through employment, farms, rental income were grouped as having financial capital.grouped as having financial capital.
Physical CapitalPhysical CapitalAn individual was defined as having physical capital if they An individual was defined as having physical capital if they
privately own land or property. privately own land or property.
Human CapitalHuman CapitalAn individual has human capital from their education and An individual has human capital from their education and
years of schooling and training. For this exercise, those years of schooling and training. For this exercise, those lacking education capital were defined as those who did not lacking education capital were defined as those who did not reach the compulsory level of education in their country.reach the compulsory level of education in their country.
What data did we have?What data did we have?YearYear Sample Sample
SizeSizeEstimated Estimated Population Population
SizeSize
Estonia Household Budget Survey Estonia Household Budget Survey 20042004 3,1653,165 1,340,4581,340,458
Latvia Household Budget Survey Latvia Household Budget Survey 20042004 3,9133,913 2,278,1612,278,161
Lithuania Household Budget SurveyLithuania Household Budget Survey 20042004 7,9697,969 3,626,4623,626,462
Poland Survey of Household BudgetPoland Survey of Household Budget 20042004 32, 21432, 214 37,784,20837,784,208
Hungary Household Budget SurveyHungary Household Budget Survey 20042004 23,51323,513 9,985,0249,985,024
What data was used to compile What data was used to compile capitals?capitals?
Lacking in Financial CapitalLacking in Financial Capital Lacking in Human CapitalLacking in Human Capital Lacking in Physical CapitalLacking in Physical Capital
HungaryHungary Living on non-employment and non Living on non-employment and non investment sources of incomeinvestment sources of income
Have no education or did not Have no education or did not achieve compulsory level of achieve compulsory level of education; and are not education; and are not attending school attending school
Do not own the houses they live in; Do not own the houses they live in; owns no other dwelling; do not owns no other dwelling; do not own any land own any land
LatviaLatvia Living on non-employment and non Living on non-employment and non investment sources of income investment sources of income
Have no education or did not Have no education or did not achieve compulsory level of achieve compulsory level of education; and are not education; and are not attending school attending school
Do not own the houses they live in; Do not own the houses they live in; owns no other dwelling; do not owns no other dwelling; do not own any land; own any land;
PolandPoland Are living on non-work and non Are living on non-work and non investment sources of income investment sources of income
Did not achieve the compulsory Did not achieve the compulsory level of and are not attending level of and are not attending schoolschool
Do not own the houses they live in; Do not own the houses they live in; and have no second house or and have no second house or summer house; do not own land summer house; do not own land
EstoniaEstonia Are not earning, rely on benefits as main Are not earning, rely on benefits as main source of income source of income
Are not in education and have not Are not in education and have not achieved elementary, have achieved elementary, have elementary or have basic elementary or have basic education, have not education, have not completed the compulsory completed the compulsory level of education level of education
Do not own the houses they live in, Do not own the houses they live in, do not own another house and do not own another house and do not own agricultural land do not own agricultural land
LithuaniaLithuania Have as their main source of income Have as their main source of income unemployment benefit, stipend, unemployment benefit, stipend, social assistance benefit, dependents, social assistance benefit, dependents,
Have not completed the Have not completed the compulsory level of compulsory level of education and are currently education and are currently not in schoolnot in school
Do not own the houses they live in Do not own the houses they live in and don’t own another house, and don’t own another house, do not own land.do not own land.
What did we find? What did we find? The percent of the population that lacked financial The percent of the population that lacked financial
capital was at least 20%, rising to as high as 42% in capital was at least 20%, rising to as high as 42% in Poland.Poland.
in Poland where those who had not worked in the last in Poland where those who had not worked in the last seven days formed 70% of those excluded from seven days formed 70% of those excluded from financial capital. financial capital.
Youth aged 15-24 formed the largest proportion of Youth aged 15-24 formed the largest proportion of those excluded from financial capital, for e.g. in those excluded from financial capital, for e.g. in Hungary 70% of those excluded from financial capital Hungary 70% of those excluded from financial capital are from this age group. are from this age group.
In all countries, the larger proportion of those excluded In all countries, the larger proportion of those excluded from financial capital were women: 58% in Latvia and from financial capital were women: 58% in Latvia and Lithuania.Lithuania.
Quite large proportions of those excluded from Quite large proportions of those excluded from financial capital were those with secondary levels of financial capital were those with secondary levels of education. education.
Urban residents formed the largest proportion of those Urban residents formed the largest proportion of those excluded from financial capital.excluded from financial capital.
What did we find?What did we find? The largest proportion of those that lacked human capital The largest proportion of those that lacked human capital
was of individuals in the 40-64 age groups. was of individuals in the 40-64 age groups. Without exception, the largest proportion of those that Without exception, the largest proportion of those that
lacked human capital was of individuals in the 40-64 age lacked human capital was of individuals in the 40-64 age groups. groups.
Women formed the largest proportion of those that lacked Women formed the largest proportion of those that lacked human capital in Poland, Hungary and Lithuania. human capital in Poland, Hungary and Lithuania.
The majority of those who lacked human capital did have The majority of those who lacked human capital did have some years of education. some years of education.
Except for Hungary, the largest proportion of those lacking Except for Hungary, the largest proportion of those lacking human capital were rural residents [in Estonia the human capital were rural residents [in Estonia the distribution is close: 49 vs. 51]. distribution is close: 49 vs. 51].
Unlike what was the case for exclusion from financial Unlike what was the case for exclusion from financial capital, a larger proportion of those that lacked human capital, a larger proportion of those that lacked human capital were individuals with disabilities, around a quarter capital were individuals with disabilities, around a quarter of those with no human capital were disabled in Poland of those with no human capital were disabled in Poland Estonia and Hungary and a third in Lithuania. Estonia and Hungary and a third in Lithuania.
Poverty and social exclusionPoverty and social exclusion
Results show that not all those Results show that not all those who are excluded from the various who are excluded from the various forms of capitals are poor; in fact forms of capitals are poor; in fact the majority of those who are the majority of those who are excluded from the various forms excluded from the various forms of capital were not in the bottom of capital were not in the bottom consumption quintile.consumption quintile.
Lessons for methodology and data Lessons for methodology and data requirementsrequirements
The data available were all from cross The data available were all from cross sectional surveys making it impossible to sectional surveys making it impossible to analyze the dynamics of exclusion analyze the dynamics of exclusion
Since the data come from household Since the data come from household surveys, by definition, those who do not surveys, by definition, those who do not live in households are not included live in households are not included
Because of a limited number of variables Because of a limited number of variables available in such household budget available in such household budget surveys, it was not possible to quantify surveys, it was not possible to quantify ownership of social capital ownership of social capital
Lessons for methodology and data requirements
Analyses focused on the 15-64 age groups; Analyses focused on the 15-64 age groups; because available variables were more relevant because available variables were more relevant for working adults and not for children or the for working adults and not for children or the elderly (even Eurostat has no indicators for elderly (even Eurostat has no indicators for children’s exclusion) children’s exclusion)
It was not possible to assess the contribution of community and national level capitals that do contribute to individuals’ possession of the various forms of capitals. Community and national capitals could include social infrastructure such as schools, hospitals, roads, and other forms of collective physical capital.
Country data are not directly comparable because variables used to compile the various forms of capitals are not identical across countries.
Lessons for methodology and data requirements
It is not possible to assess or compare how lack of access to a form of capital is associated with a level of deprivation. That is, is someone who lacks financial capital as worse off as someone who lacks human capital? Does an individual who lacks human and financial capital worse off than the individual that lacks just one of these?
Bivariate rather than multivariate analysis for the probability of being both poor and lacking in capitals might not be sufficient to explain the very complex interaction between socio-economic characteristics on one hand and lack of capitals and poverty on the other.