Home Economy Reducing the number of people living below the poverty line and reducing inequality

Reducing the number of people living below the poverty line and reducing inequality

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Reducing the number of people living below the poverty line and reducing inequality

In danger poverty or social exclusion found in 2022 more than one in four citizens in Hellas, a lower percentage compared to 2021 and, of course, compared to the years of deep recession, when the corresponding ratio was almost one in three, high both in absolute terms – since 2,722,000 people were in this unfavorable situation – and in compared to Western Europe. Those who have are now vulnerable low level of education, women And unemployed, while even those who are not very poor are largely unable to pay for leisure or hobbies. Data released yesterday ELSTAT also show that while the index of economic inequality declined in 2022 (relative to income in 2021), inequality persists: the poorest 25% of the population own only 10.3% of total national disposable income, while the richest 25 % of the population owns 45.3% of the total national disposable income. national disposable income.

Decrease compared to 2021

So, according to Hellenic Statistical Office (ELSTAT) the proportion of the population at risk of poverty or social exclusion decreased to 26.3% in 2022 from 28.3% in 2021. This is the lowest share in the period 2015-2022, and a decrease of 2 points compared to 2021 Due in large part to the fact that the 2021 figures refer to income in 2020, income has declined for much of the population due to the massive restrictions on economic activity caused by the lockdowns in the first year of COVID-19. It is noted, however, that for a part of the population, incomes increased precisely because of COVID-19: 14.6% of households said that their incomes increased over the past 12 months, 15% – that they decreased, and 70 – 4% of households. households remain the same. 26.1% said that the main reason for the increase or decrease in income was the pandemic, of which 6.1% said that their income increased, and 20% that they decreased. However, the average equivalent individual disposable income (equivalent individual disposable income is defined as the total disposable income of a household after dividing it by the size of the equivalent household) increased in 2022 (2021 real income) by 8.8% compared to last year and formed by the level of 10,832 euros is almost at the level of 2012.

The share of the population at risk of poverty after the so-called social payments (pensions, social benefits) is 18.8%.

According to ELSTAT, people with low levels of education, women and the unemployed are now vulnerable.

The risk of poverty is higher for women (19.4%) than for men (18.2%), and the employment situation plays a decisive role, as this indicator rises to 43.6% among the unemployed and the level of education, while the risk poverty is estimated at 25.9% for those who have completed only high school.

The share of the population with material and social deprivations remained at the level of 2021 (13.9%), i.e. the proportion of the population that does not have at least 7 of the list of 13 goods and services. The data show mainly the financial inability of households to replace worn-out furniture (53.7%), pay a week’s vacation (48.6%), and cover extraordinary but necessary expenses (43.6%). In addition, 28% of the population lives in a house with a limited area, 30.6% of households that received a consumer loan for the purchase of goods and services state that they experience great difficulties with its repayment or installment plan.

Poor households

The situation is, of course, more unfavorable for poor households. For example, 32.2% of poor households state that they lack a diet that includes chicken, meat, fish, or vegetables of equal nutritional value every other day, while the corresponding percentage of non-poor households is estimated at 4.9%. Half of poor households report being unable to pay fixed bills on time.

While the “gap” between rich and poor narrowed slightly in 2022 compared to 2021, it remains relatively high as the Economic Inequality Index stood at 5.3 from 5.8 in 2021, still higher than in 2019. before the pandemic (5.1). The maximum individual annual income for the bottom 25% of the population is only 6,533 euros, lower than in 2011, when the corresponding amount was 7,176 euros.

Author: Dimitra Manifava

Source: Kathimerini

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