Poverty Flashcards
In what ways is social exclusion distinctive from the concept of poverty?
- Broader/more comprehensive/multi-dimensional
- Dynamic
- Concerned w/social relations
Argument that dynamic poverty analysis advancements NOT due to social exclusion?
Le Grand et al (2002)
- dynamic analysis associated w/social exclusion due to IT improvements and new panel/longitudinal data
- E.g. new British household panel survey in 1991
What is useful about dynamic nature of social exclusion?
Laderchi et al (2003)
- Not dynamic nature of analysis per se that’s useful
- What is useful is focus on underlying processes leading to disadvantage and its persistence
Example of policy area in which relational focus of social exclusion gives distinctive policy recommendations?
Social housing
- Poverty approach – focus on distribution and hence neutral between 10,000 council houses in 1 place VS 1,000 in 10 places
- Social exclusion - consider possible geographical exclusion and aim to promote social mixing/integration
Evidence of lack of overlap between those suffering from social exclusion and poverty?
Burchardt (2000)
- No dimension of social exclusion that a majority of 1/5th were excluded on
- Most of poorest 1/5th not excluded on all dimensions of social exclusion
Evidence of multi-dimensionality of social exclusion amongst the poor?
Burchardt (2000)
- no dimension of social exclusion that a majority of the poorest 1/5th were excluded on
- Most of poorest 1/5th not excluded on all dimensions of social exclusion
Key problem with the operationalisation of the concept of social exclusion?
Operationalisation of social exclusion inevitably treats it as state/outcome rather than process (hence losing its distinctive value)
Example of operationalisation of social exclusion
Robinson and Oppenheim (1998)
- Propose 4 indicators of social exclusion:
(i) % population below 50% average income
(ii) unemployment rate
(iii) % failing to get 20 GCSE points
(iv) mortality ratio of social classes
Key elements of New Labour’s child poverty strategy?
Waldfogel (2010)
- Make work pay (e.g. working families tax credit, NMW)
- Support families w/children (e.g. increased child benefit, affordable childcare)
- Invest in children (e.g. universal nursery places, parental leave rights extended, Sure Start centres in low-income areas)
4 key elements of Conservative’s child poverty strategy?
Move to tackle underlying root causes:
- Support disadvantaged children (e.g. pupil premium, free childcare for disadvantaged 2-year olds extended)
- Change behaviour (e.g. troubled families initiative)
- Encourage work (e.g. universal credit)
- Benefit cuts (e.g. overall cap, bedroom tax)
Evidence of falls in absolute child poverty under New Labour?
1997-2010:
Absolute poverty decreased from 29% to 11%
Evidence of falls in relative child poverty under New Labour?
1997-2010:
Relative poverty decreased 1997-2010 from 27% to 20%
Evidence of falls in relative and absolute child poverty under New Labour?
- Absolute poverty ↓ 1997-2010 from 29% to 11%
2. Relative poverty ↓ 1997-2010 from 27% to 20%
Evidence to suggest that falls in child poverty under New Labour translated into real improvements in children’s lives and well-being?
Dickens (2011)
Falls in material deprivation index suggest child poverty improvements under New Labour translated into real improvements in children’s lives and well-being
Indirect evidence of success of New Labour’s child poverty strategy?
Dickens (2011)
Fall in worklessness among households w/children, particularly dramatic in single parent households
Laderchi et al (2003)
USEFULNESS OF SOCIAL EXCLUSION CONCEPT
- Not dynamic nature of analysis per se that’s useful
- What is useful is focus on underlying processes leading to disadvantage and its persistence
Muffels (1992)
PERSISTENCE OF POVERTY
3-year poverty study:
- In any given year, 10% in poverty
- 20% of population in poverty for 1 year of study
- Only 0.5% in poverty for whole period
Muffels (1992)
…..-year poverty study:
- In any given year, …..% in poverty
- …..% of population in poverty for 1 year of study
- Only …..% in poverty for whole period
Muffels (1992)
3-year poverty study:
- In any given year, 10% in poverty
- 20% of population in poverty for 1 year of study
- Only 0.5% in poverty for whole period
Evidence which shows how social exclusion’s focus on underlying processes of disadvantage and its persistence is useful
Muffels (1992)
3-year poverty study:
(i) In any given year, 10% in poverty
(ii) 20% of population in poverty for 1 year of study
(iii) Only 0.5% in poverty for whole period
Evidence that, for many, poverty is transitory BUT for few, it is persistent
Muffels (1992)
3-year poverty study:
(i) In any given year, 10% in poverty
(ii) 20% of population in poverty for 1 year of study
(iii) Only 0.5% in poverty for whole period
Burchardt (2000)
RELATIONSHIP BETWEEN POVERTY AND SOCIAL EXCLUSION
- No dimension of social exclusion that a majority of 1/5th were excluded on
- Most of poorest 1/5th not excluded on all dimensions of social exclusion
Possible example of someone that is in poverty but not socially excluded?
- Unemployed not usually socially isolated
2. Problem – social networks quite segregated and tend to involve other unemployed people
- Robinson and Oppenheim (1998)
2. How do they succeed? Where do they fail?
EXAMPLE OF OPERATIONALISATION OF SOCIAL EXCLUSION
- Propose 4 indicators of social exclusion:
(i) % population below 50% average income
(ii) unemployment rate
(iii) % failing to get 20 GCSE points
(iv) mortality ratio of social classes
2a. Succeed in providing multi-dimensionality
2b. Fail to focus on processes over time
Levitas (2006)
SOCIAL EXCLUSION NOT USEFUL
- Social exclusion simply a fashionable way to talk about poverty and its ‘distinctive’ elements not unique
- Example - focus on social relations featured in Townsend’s 1979 work on relative deprivation
Counter-argument to Levitas (2006) that social exclusion brings nothing unique that hasn’t featured in previous work
- Whilst no single element unique, so previous poverty research incorporated all elements together
- Importance change of emphasis and approach (Atkinson 1998)
Atkinson (1998)
Social exclusion = important chance of emphasis and approach
Waldfogel (2010)
Key elements of New Labour’s child poverty strategy
(i) Make work pay (e.g. working families tax credit, NMW)
(ii) Support families w/children (e.g. increased child benefit, affordable childcare)
(iii) Invest in children (e.g. universal nursery places, parental leave rights extended, Sure Start centres in low-income areas)
How has child poverty been measured under New Labour, Coalition and Conservatives?
- New Labour - focused on income as poverty measure (both relative and absolute)
- Coalition - moved to broader focus, w/addition of measures relating to:
(i) NEETs
(ii) Workless households
(iii) Other life chances indicators - Conservatives - targets abandoned and replaced w/measures of:
(i) worklessness
(ii) educational attainment
(iii) other life chances measures
Under New Labour 1997-2010:
- Relative child poverty decreased from …..% to …..%
- Absolute child poverty decreased from …..% to …..%
Under New Labour 1997-2010:
- Relative child poverty decreased from 27% to 20%
- Absolute child poverty decreased from 29% to 11%
Dickens (2011)
- Falls in material deprivation index suggest child poverty improvements under New Labour translated into real improvements in children’s lives and well-being
- Fall in worklessness among households w/children, particularly dramatic in single parent households
- Decomposition/counter-factual analysis:
(i) W/o reforms, relative child poverty would have risen to 29%, not fallen to 20%
- What were New Labour’s child poverty targets?
- Did they meet them?
- Why/why not?
- Aim to reduce relative child poverty to 10% and absolute child poverty to 5%
- No
- Targets were v. ambitious
Were falls in worklessness among households with children under New Labour due to policy?
Brewer et al (2006)
- Economic growth would have increased employment anyway
- Consensus - New Labour’s reforms played major role in extent of reductions
Brewer et al (2006)
FALLS IN WORKLESSNESS AMONG HOUSEHOLDS WITH CHILDREN UNDER NL
- Economic growth would have increased employment anyway
- Consensus - New Labour’s reforms played major role in extent of reductions
Evidence that New Labour’s child poverty strategy was effective in international context
UNICEF (2010)
(i) International comparison showed that New Labour achieved 1 of the largest reductions in child poverty following deliberate government intervention
UNICEF (2010)
CHILD POVERTY REDUCTION UNDER NEW LABOUR
International comparison showed that New Labour achieved 1 of the largest reductions in child poverty following deliberate government intervention
Empirical analysis of impact of New Labour’s child poverty reforms
Dickens (2011)
Decomposition/counter-factual analysis:
(i) W/o reforms, relative child poverty would have risen to 29%, not fallen to 20%
Empirical analysis of the net effect of the Coalition’s policies on child poverty
IFS
Net effect = increase in absolute and relative child poverty
Evidence that benefits cap impacted families with children?
Stewart and Obolenskaya (2016)
Over 90% of households impacted by benefits cap were families w/children
….. and ….. (2016)
…..% of households impacted by benefits cap were families w/children
Stewart and Obolenskaya (2016)
Over 90% of households impacted by benefits cap were families w/children
What % of households impacted by the benefits cap were families w/children? (Stewart and Obolenskaya 2016)
Over 90%
Stewart and Obolenskaya (2016)
- Over 90% of households impacted by benefits cap were families w/children
- Spending on early education, childcare and Sure Start fell by ~1/5th per child 2010-14
What % of Coalition’s deficit reduction was achieved via spending cuts vs tax increases?
80% achieved via spending cuts
20% via tax increases
….% of the Coalition’s deficit reduction was achieved by spending cuts, and …..% via tax rises
80% of the Coalition’s deficit reduction was achieved by spending cuts, and 20% via tax rises
Key reasons that net effect of Coalition’s policies were to increase absolute and relative child poverty (IFS)?
- Recession and economic downturn
2. Cuts to social security and benefits had major effect