Washington, 4 November 2009 Developing and learning from measures of social inclusion in the EU E. Marlier (CEPS/INSTEAD, LU) B. Nolan (UCD, IE) B. Cantillon,

Washington, 4 November 2009

Developing and learning from measures

of social inclusion in the EU

E. Marlier (CEPS/INSTEAD, LU)

B. Nolan (UCD, IE)

B. Cantillon, K. Van den Bosch and T. Van Rie (UA, BE)

(website: www.ceps.lu)


Eric MARLIER – CEPS/INSTEAD2

EU SI portfolio: Primary Indicators

Income poverty:P1) Poverty risk rate (+ poverty risk threshold)P2) Persistent poverty risk rate (NA yet for EU-27)P3) Relative median poverty risk gap

Unemployment & Joblessness:P4) LT unemployment rateP5) Population living in jobless hhds (18-59 & <18)

Low educational qualifications: P6) Early school leavers

Employment of immigrants: P7) Employment gap of immigrants [NAT]

Material deprivation: P8) Population living in materially deprived hhds

Housing: P9) Work in progress

Access to healthcare:P10) Self-reported unmet need for medical care (+ healthcare utilization) [NAT]

Child well-being: P11) Work in progress



EU SI portfolio: Secondary Indicators

Income poverty:S1) Poverty risk by different breakdowns and PR according to different PR thresholds (40, 50, 70% of median)

Low educationalattainment:

S2) Persons with low educational attainmentS3) Low reading literacy performance of pupils aged 15

Material deprivation:

S4) Depth of material deprivation

Housing:S5) Persons in households with high housing costsS6) Persons living in overcrowded households



1. Correlations among the 8 Primary Indicators across EU-27 countries, EU-SILC and LFS, 2007

Poverty risk

Poverty risk gap

Long-term

unemployment

Adults in jobless households

Early school leavers

Employment gap of

immigrants

Material deprivat

ion

Unmet need for medical

care

Poverty risk 1,00 0,81 ** 0,03 0,09 0,38 -0,32 0,55 ** 0,72 **

Poverty gap 0,81 ** 1,00 0,25 0,19 0,21 -0,18 0,77 ** 0,75 **

Long-term unemployment 0,03 0,25 1,00 0,45 * -0,05 -0,04 0,38 * 0,13

Adults in jobless households 0,09 0,19 0,45 * 1,00 -0,26 0,40 * 0,27 -0,06

Early school leavers 0,38 0,21 -0,05 -0,26 1,00 -0,37 -0,02 0,15

Employment gap of immigrants -0,32 -0,18 -0,04 0,40 * -0,37 1,00 -0,18 -0,25

Material deprivation 0,55 ** 0,77 ** 0,38 * 0,27 -0,02 -0,18 1,00 0,73 **

Unmet need for medical care 0,72 ** 0,75 ** 0,13 -0,06 0,15 -0,25 0,73 ** 1,00



Material deprivationPeople living in households who cannot afford 3+ of the following items:

1) to face unexpected expenses;

2) one week annual holiday away from home;

3) to pay for arrears (mortgage/ rent, utility bills, hire purchase instalments);

4) a meal with meat, chicken or fish every second day;

5) to keep home adequately warm;

6) to have a washing machine;

7) to have a colour TV;

8) to have a telephone;

9) to have (access to) a personal car.

Aggregate of information focused on some key aspects of material living conditions. The aim is not to cover all the dimensions of social exclusion (i.e., health, employment, education, social participation, etc). Focus on enforced lack and not personal choices.



2. Material deprivation & at-risk-of-poverty rates, EU-27, EU-SILC, 2007

0

10

20

30

40

50

60

70

80

LU NL SE DK FI AT ES IE UK BE DE FR MT SI EE IT CZ EL PT LT SK CY HU PL LV RO BG

Po

ve

rty

ris

k a

nd

ma

teri

al d

ep

riv

atio

n r

ate

0

2000

4000

6000

8000

10000

12000

14000

16000

18000

20000

Po

ve

rty

ris

k t

hre

sh

old

in P

PS

Material deprivation Poverty risk



3. Material deprivation & AROP rates, poverty risk thresholds, EU-27, EU-SILC, 2007

0

10

20

30

40

50

60

70

80

RO BG LV PL LT HU EE SK CZ PT EL MT ES SI IT FI FR SE BE DK DE NL IE AT CY UK LU

Pov

erty

ris

k an

d m

ater

ial d

epriv

atio

n ra

te

0

2000

4000

6000

8000

10000

12000

14000

16000

18000

20000

Pov

erty

ris

k th

resh

old

in P

PS

Material deprivation Poverty risk Poverty threshold


Eric MARLIER – CEPS/INSTEAD7bis

UK

SK

SI

SE

RO

PT

PL

NL

MT

LV

LU

LT&EE

IT

IE

HU

EL

FI&FR

ES

DK

BE&DE

CZ

CY

BG

AT

8

10

12

14

16

18

20

22

24

26

0 2000 4000 6000 8000 10000 12000 14000 16000 18000 20000

Poverty risk threshold in PPS

Pov

erty

ris

k3bis. AROP rate and PR threshold (in PPS), EU-27, EU-SILC, 2007


Eric MARLIER – CEPS/INSTEAD7ter

3ter. Deprivation rate & PR threshold (PPS), EU-27, EU-SILC, 2007

SK

SI

SE

RO

PT

PL

NL

MT

LV

LU

LT

IT

HU

EL

FRFIES

EE

DK

BE&DE

CZ

CY

BG

IE&AT&UK

0

10

20

30

40

50

60

70

80

0 2000 4000 6000 8000 10000 12000 14000 16000 18000 20000

Poverty risk threshold in PPS

Mat

eria

l dep

rivat

ion

rate



4. Material deprivation depth for income-poor and non-income-poor population, EU-27, EU-SILC, 2007

0

0,5

1

1,5

2

2,5

3

3,5

4

4,5

5

LU NL SE DK FI UK AT BE IE DE ES FR IT SI CZ EE MT EL PT CY SK LT HU PL LV RO

Poor Non-poor



5. Deprivation (%) & Median PR gap (%), EU-27, EU-SILC, 2007

UK

SK

SI

SE

RO

PT

PL

LV

LU

LT

IT

IE

HU

EL

FR&MTFI ES

EE

DK &NL

DE

CZ

CY

BG

BEAT

0

10

20

30

40

50

60

70

80

12 14 16 18 20 22 24 26 28 30 32 34 36

Poverty gap

Mat

eria

l dep

rivat

ion

rate



6a. Quartile scores of EU countries for the 6EU Primary Indicators, EU-SILC and LFS, 2007

CountryPoverty

riskPoverty risk gap

LTunemplo

yment

Adults in jobless

households


Material deprivation

Poorest performance

(- or - -)

Best performance

(++)

Austria ++ ++ ++ + + + 0 3

Belgium + + - - - - + + 2 0

Bulgaria - - - - - - - - - - - 6 0

Cyprus - - ++ ++ + - - 3 2

Czech Republic ++ + - ++ ++ - 2 3

Denmark ++ ++ ++ + + ++ 0 4

Estonia - - - ++ - - 5 1

Finland + ++ + - ++ ++ 1 3

France + ++ - - - + 3 1

Germany + - - - - - + 4 0

Greece - - - - - - - - - 6 0

Hungary ++ - - - - + - - 4 1

Ireland - + + - + + 2 0

Italy - - - - - - - - 6 0



6b. Quartile scores of EU countries for the 6 EU Primary Indicators, EU-SILC and LFS, 2007

CountryPoverty

risk

Poverty risk gap

LTunemplo

yment

Adults in jobless

households


Material deprivation

Poorest performance

(- or - -)

Best performance

(++)

Latvia - - - - + + - - - 4 0

Lithuania - - - + + ++ - 3 1

Luxembourg + + ++ + - ++ 1 2

Malta + ++ - + - - + 2 1

Netherlands ++ ++ ++ ++ + ++ 0 5

Poland - - - - - - ++ - - 5 1

Portugal - - - - ++ - - - 5 1

Romania - - - - - - - - - - - 6 0

Slovakia ++ + - - - ++ - 3 2

Slovenia ++ + + ++ NA - 1 2

Spain - - - + ++ - - + 3 1

Sweden ++ - ++ NA ++ ++ 1 4

UK - - ++ - - - - + 4 1



Monthly at-risk-of-poverty thresholds (illustrative values)for households with 2 adults & 2 children, PPS, EU-27, 2007 Huge range to be kept in mind when comparing national poverty risks[8 red circles: <750 PPS ; 12 black circles: >1600 PPS]…

Source: Eurostat; EU-SILC 2007 - Income reference year 2006 except for UK (2007) and IE (moving reference period 2006-7)

BE BG CZ DK DE EE IE EL ES FR IT CY LV LT

1756 351 936 1781 1821 710 1874 1216 1366 1638 1531 1914 587 615

LU HU MT NL AT PL PT RO SI SK FI SE UK

3076 696 1320 1860 1913 599 938 309 1396 723 1631 1677 1989


More information?

Report prepared by the EU Task-Force on Child Poverty and Child Well-Being (2008):http://ec.europa.eu/employment_social/spsi/docs/social_inclusion/2008/child_poverty_en.pdf

Report on Tackling child poverty and promoting the social inclusion of children in the EU, prepared for COM by EU Network of non-governmental social inclusion experts (2007):

http://ec.europa.eu/employment_social/spsi/docs/social_inclusion/experts_reports/synthesis1_2007_en.pdf

On some of the main challenges facing the social inclusion strand of the EU Social OMC, including children mainstreaming, social impact assessment of policies and policy analysis:

Eric Marlier, AB Atkinson, Bea Cantillon and Brian Nolan (2007): The EU and Social Inclusion: Facing the Challenges, The Policy Press, Bristolhttp://www.policypress.co.uk/display.asp?K=9781847424198

For an in-depth theoretical and empirical discussion of comparative social indicators for use by country and EU in Social OMC:

Tony Atkinson, Bea Cantillon, Eric Marlier and Brian Nolan (2002): Social indicators: The EU and Social Inclusion, Oxford University Press, Oxford http://ukcatalogue.oup.com/product/9780199253494.do




For Social OMC as a whole:

EU overarching objectives-------------------------------------

Portfolio of EU overarching indicators plus context info.

For social inclusion (SI) strand of Social OMC:

EU objectives for SI----------------------------

Portfolio of EU SI primary & secondary indicators plus

context information

For pensions strand of Social OMC:

EU objectives for pensions----------------------------

Portfolio of EU pensions primary & secondary indicators

plus context information

For health care & long-term care strand of Social OMC:

EU objectives for health----------------------------

Portfolio of EU health primary & secondary indicators plus

context information

Box 1: Social Open Method of Coordination (OMC) Framework



Evolution of Material deprivation & poverty risk, %, EU, EU-SILC, 2005-2007

0

5

10

15

20

25

30

35

40

45

50

EU25 EU15 NMS10 EU25 EU15 NMS10

Poverty risk rate Material deprivation rate

2005

2006

2007

Documents

Washington, 4 November 2009 Developing and learning from measures of social inclusion in the EU E. Marlier (CEPS/INSTEAD, LU) B. Nolan (UCD, IE) B. Cantillon,