Poverty and anti-poverty policy in Hungary 1990-2004

Viktoria Galla

Institute of EconomicsHungarian Academy of Sciences

Poverty and ant-poverty policy in the EU 13th

workshop on alternative economic policy in EuropeSeptember 21st-23rd, 2007,Brussels

Aims and data source

Household budget surveys

1993 → 1997→ 2004

Income specific decomposition

Young, unemployed and old-age poverty tendencies

Demographic changes

Dependency ratio 1960-2006

0

10

20

30

40

50

60

1960

1980

1991

1993

1995

1997

1999

2001

2003

2005

years

ratio

Total dependencyratio

Old-age dependencyratio

Youth dependencyratio

Age composition, percentage

0%

20%

40%

60%

80%

100%

1960

1980

1991

1993

1995

1997

1999

2001

2003

2005

years

pe

rce

nta

ge

65-

15-64

0-14

Social position of households with children

Ratio of hh with children within the hh in Hungary, by income deciles

0.0

10.0

20.0

30.0

40.0

50.0

60.0

1993 1997 2004years

rati

o 1st decile

5th decile

10th decile

Average

Social position of unemployed

Ratio of hh with unemployed within all hh in Hungary, by income deciles

0.0

10.0

20.0

30.0

40.0

50.0

60.0

1993 1997 2004years

ratio

1st decile

5th decile

10th decile

Average

Ratio of unemployed to total population age group 15-64, by income deciles

0.0

5.0

10.0

15.0

20.0

25.0

30.0

1993 1997 2004years

ratio

1st decile

5th decile

10th decile

Average

Social position of pensioners

Income specific dependency ratio in working aged population

0.0

5.0

10.0

15.0

20.0

25.0

30.0

1993 1997 2004years

rati

o

1st decile

5th decile

10th decile

Average

Social position of under- and well educated in Hungary

Income specific distribution of people with higher education

age group 25-64

0%

20%

40%

60%

80%

100%

1993 1997 2004

yearspe

rcen

tage

5th quintile

4th quintile

3rd quintile

2nd quintile

1st quintile

Income specific distribution of under educated age group 25-64

0%

20%

40%

60%

80%

100%

1993 1997 2004

years

perce

ntage

5th quintile

4th quintile

3rd quintile

2nd quintile

1st quintile

Returns on schooling

Return on schooling by the level of education in the personal income

level 1993 1997 2004

elementary 0.7 0.7 0.6

vocational 1.0 0.9 0.9

secondary 1.2 1.2 1.0

third level 1.7 1.8 1.7

Average 1.0 1.0 1.0

-Hh. composition effect

-redistribution of taxes

Gini index

  1993 1997 2002 2004

Household income 0.217 0.231 0.237 0.251

Personal income 0.503 0.511 0.493 0.498

-Regional indexes

Poverty ratio

1993 1997 2004

Elderly over 60 below the poverty lines of 50% 1.4 0.5 1.9

Unemployed below the poverty line of 50% 10.4 19.7 21.7

Children below the poverty line of 50%, living in families with more than 3 children 12.2 28.7 30.5

People below the poverty lines of 50%, living in families with more than 3 children 13.4 29.2 28.5