Seminar “Social Work and Poverty in Europe and in the United States” Arcavacata Campus - University of Calabria, Italy.- May 6 - 11, 2012 Monday May 7th What is poverty in Europe More equal societies work better for everyone? Alessandro Sicora, University of Calabria Summary 1. what is poverty (not only a question of money) 2. poverty in Europe (data) 3. poverty in Italy (data) 4. relative poverty and income inequality 4. more equal societies work better for everyone 5. the crisis in Europe: what about the future? Poverty is... (Pierson, Thomas, 2002: 358 - 360) “a condition in which people are inhibited from participation in society because of a serious lack of material and social resources” of two types: Absolute ← no sustainability of physical life (no minimum for food and shelter; eg. 1 US $) Relative ← “lack of resources to obtain the types of diet, participate in the activities and have the living condition and amenities that are customary of at least widely encouraged and approved in the society to which a person belongs” Poverty in Europe source: Eurostat (data 2010) (http://epp.eurostat.ec.europa.eu/portal/page/portal/income_social_inclusion_living_conditions/data/main_tables) At-risk-of-poverty threshold - In PPS The threshold is set at 60 % of the national median equivalised disposable income (after social transfers). It is expressed in Purchase Parity Standards (PPS) in order to take into account differences in cost of living across EU Member States. At risk poverty threshold The threshold is set at 60 % of the national median equivalised disposable income (after social transfers). It is expressed in Purchase Parity Standards (PPS) in order to take into account differences in cost of living across EU Member States Income quintile share ratio The ratio of total income received by the 20 % of the population with the highest income (top quintile) to that received by the 20 % of the population with the lowest income (lowest quintile). Income must be understood as equivalised disposable income. Absolute poverty in Italy (%) - 2007-2010 Source: Istat, La povertà in Italia (http://www.istat.it/it/archivio/33524) Nord Centro Mezzogiorno Italia 2010 3,6 3,8 6,7 4,6 2009 3,6 2,7 7,7 4,7 2008 3,2 2,9 7,9 4,6 2007 3,5 2,9 5,8 4,1 Italia 2007 Mezzogiorno 2008 2009 2010 Centro Nord 0,0 2,0 4,0 6,0 8,0 10,0 Relative poverty in Italy (%) - 2007-2010 Source: Istat, La povertà in Italia (http://www.istat.it/it/archivio/33524) Nord Centro Mezzogiorno Italia 2010 4,9 6,3 23,0 11,0 2009 4,9 5,9 22,7 10,8 2008 4,9 6,7 23,8 11,3 2007 5,5 6,4 22,5 11,1 Italia 2007 Mezzogiorno 2008 2009 Centro 2010 Nord 0,0 10,0 20,0 30,0 Italian region - Average Income (euro) (redditi Irpef 2009) Source: http://www.comuni-italiani.it/statistiche/redditir2009.html 1 Lombardia 25.401 (14.848*) 2 Valle d'Aosta 23.185 3 Trentino-Alto Adige 23.756 4 Emilia-Romagna 23.224 5 Liguria 23.471 6 Friuli-Venezia Giulia 22.697 7 Piemonte 22.903 8 Lazio 25.811 9 Toscana 22.519 10 Veneto 22.575 11 Umbria 21.298 12 Marche 20.874 13 Abruzzo 20.280 14 Sardegna 20.638 15 Molise 20.048 16 Basilicata 19.352 17 Puglia 19.719 18 Sicilia 20.656 19 Campania 21.072 20 Calabria 19.448 (7.172*) – Italia 22.891 (11.706*) * = average/inhabitants The notion of relative poverty... “focuses on the degree to which people are prevented from sharing the living standards, opportunities and norms of well-being that a society as a whole has created for itself” → ie. ICT (Information and Communication Technology) (Pierson, Thomas, 2002: 359) and is related with inequality and income distribution Inequality: how much richer are the richest 20% in each country than the poorest 20%? 8.0 Wilkinson & Pickett, The Spirit Level 8.5 7.2 6.7 6.8 6.8 7.0 UK Po r tu ga l US A Sin ga po re 6.1 6.2 d No rw ay Sw ed en De nm ar k Be l gi um Au st r ia Ge rm an Ne y t he r la nd s Sp ai n Fra nc e Ca na da Sw izt erl an d Ir e lan d Gr ee ce lan Fin Ja pa n 4.6 4.8 4.3 3.9 4.0 3.7 3.4 5.6 5.6 5.6 5.7 5.3 5.2 9.7 It a ly Isr Ne ae l w Ze ala nd Au st r ali a Income gaps How many times richer are the richest fifth than the poorest fifth? www.equalitytrust.org.uk “Because more equal societies work better for everyone” (1/4) http://www.equalitytrust.org.uk 1. PHYSICAL HEALTH: People in more equal societies live longer, a smaller proportion of children die in infancy and self-rated health is better. 2. MENTAL HEALTH: People in more equal societies are far less likely to experience mental illness. 3. DRUG ABUSE: People in more equal societies are less likely to use illegal drugs. 4. EDUCATION: Children do better at school in more equal societies. 5. IMPRISONMENT: Unequal societies are harsher, they imprison a higher proportion of people. “Because more equal societies work better for everyone” (2/4) http://www.equalitytrust.org.uk 6. OBESITY: Obesity is less common in more equal societies. 7. SOCIAL MOBILITY: There is more social mobility in more equal societies. 8. TRUST AND COMMUNITY LIFE: Communities are more cohesive and people trust each other more in more equal societies. 9. VIOLENCE: Homicide rates are lower and children experience less violence in more equal societies. 10. TEENAGE BIRTHS: Teenage motherhood is less common in more equal societies. 11. CHILD WELL-BEING: Unicef measures of child well-being are better in more equal societies. “Because more equal societies work better for everyone” (3/4) http://www.equalitytrust.org.uk 11. CHILD WELL-BEING: Unicef measures of child well-being are better in more equal societies. 12. EQUALITY NOT GROWTH: Further economic growth will not improve our health or well-being. For a better quality of life we need greater income equality. 13. RICH AND POOR COUNTRIES: More equal societies spend a higher proportion their income on overseas aid and perform better on the Global Peace Index. 14. EQUALITY AND GLOBAL WARMING: Inequality fuels status competition, individualism and consumerism. It makes it harder to gain public support for policies to reduce global warming. “Because more equal societies work better for everyone” (4/4) Health and social problems are not related to national income per head, but are worse in more unequal countries People in more unequal countries trust each other less and are imprisoned more Social mobility is lower in more unequal countries (Wilkinson, Pickett, 2009) Neither health nor social problems are related to national income per head Index of health and social problems Index of: • Life expectancy • Math & Literacy • Infant mortality • Homicides • Imprisonment • Teenage births • Trust • Obesity • Mental illness – incl. drug & alcohol addiction • Social mobility Wilkinson & Pickett, The Spirit Level www.equalitytrust.org.uk Health and social problems are worse in more unequal countries Index of health and social problems Index of: • Life expectancy • Math & Literacy • Infant mortality • Homicides • Imprisonment • Teenage births • Trust • Obesity • Mental illness – incl. drug & alcohol addiction • Social mobility Wilkinson & Pickett, The Spirit Level www.equalitytrust.org.uk People in more unequal countries trust each other less Wilkinson & Pickett, The Spirit Level www.equalitytrust.org.uk Imprisonment rates are higher in more unequal countries Wilkinson & Pickett, The Spirit Level www.equalitytrust.org.uk Social mobility is lower in more unequal countries Wilkinson & Pickett, The Spirit Level www.equalitytrust.org.uk The crisis in Europe: what about the future? “L'intera Europa, non solo l'area euro, è destinata a un decennio di bassa crescita. Pesano i debiti pubblici e privati del passato, gli squilibri competitivi da riassorbire e l'andamento demografico. Quando la crescita dell'economia è vicina all'1% la distribuzione del reddito diventa un gioco a somma zero. Chi guadagna lo fa solo a scapito di qualcuno che perde. Inevitabilmente il tema dell'equità diventa centrale.” (Bastasin C. “Europa e Italia. L'obbligo di dare certezze” in Il Sole 24 Ore, 24.04.12, anno 148, n. 113, p. 1) The crisis in Europe: what about the future? “The whole of Europe, not only the euro area, is bound to a decade of low growth. This is because of the public and private debts of the past, competitive imbalances and the demographic trend. When economy growth is close to 1% of the income distribution becomes a zero sum game. The one who gains can do so only at the expense of someone who loses. Inevitably the issue of equity becomes central.” (Bastasin C. “Europa e Italia. L'obbligo di dare certezze” in Il Sole 24 Ore, 24.04.12, anno 148, n. 113, p. 1) References Istat (2011), La povertà in Italia, Istat, Roma, On-line: http://www.istat.it/it/archivio/33524 Pierson J., Thomas M. (2002), Collins Dictionary of Social Work, Collins, Glasgow Wilkinson R., Pickett K. (2009), The Spirit Level, Penguin Internet resources Comuni Italiani: http://www.comuni-italiani.it The Equality Trust: http://www.equalitytrust.org.uk/ Eurostat: http://epp.eurostat.ec.europa.eu/