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Presentation from Alita Nandi Institute for Social and Economic Research (University of Essex) at Sheffield Hallam University on 22 Nov 2011 at Race, Ethnicity and Wellbeing Society Forum
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Alita Nandi ISER, University of Essex
Sheffield Hallam University, 22nd November 2011
Ethnic minority women’s poverty and
economic well being
Report for the Government Equalities Office
By Alita Nandi, ISER and Lucinda Platt, IOE
Objectives:
Discuss economic well-being of women across
different ethnic groups
Discuss differences in women’s experiences and
characteristics
Discuss the link between inequality and poverty
Discuss these issues for women living with dependant
children to understand economic well-being of children
across different ethnic groups
Differences in employment by ethnic groups (Berthoud and
Blekesaune 2006)
Differences in pay by ethnic groups (Longhi and Platt 2008, Platt
2006a)
Differences in poverty rates at the household level (Department of Work and Pensions 2009)
But no research on
Differences in women’s economic well-being
Existing research
Data
Family Resources Survey (FRS) – Continuous household survey
– Repeated cross-sectional survey with the financial year as reference period
– Stratified, clustered sample which is representative of UK population living in private households
– Target annual sample size of 29,000 households
– Face-to-face interviews of non-dependant adults over 16 years of age
Households Below Average Income (HBAI) ― dataset containing variables derived from the FRS
Analysis sample: – Pooled, 2003/04 to 2007/08
– without Northern Ireland
Sample
All Adults
(% of total)
Female/
Male ratio
Children
(% of adults)
White British 196542 89.06% 1.12 58550 30%
Indian 3767 1.71% 1.05 1470 39%
Pakistani 2260 1.02% 1.05 1640 73%
Bangladeshi 706 0.32% 1.11 605 86%
Chinese 732 0.33% 1.33 207 28%
Black Caribbean 2009 0.91% 1.32 938 47%
Black African 1836 0.83% 1.28 1353 74%
Total 220679# 100.00%# 1.13 69142# 31%
Notes: Unweighted, statistics except for female-male ratio which is weighted #This total includes persons in “mixed” and “other” categories, excluded from all analyses
Sample
All Adults
(% of total)
Female/
Male ratio
Children
(% of adults)
White British 196542 89.06% 1.12 58550 30%
Indian 3767 1.71% 1.05 1470 39%
Pakistani 2260 1.02% 1.05 1640 73%
Bangladeshi 706 0.32% 1.11 605 86%
Chinese 732 0.33% 1.33 207 28%
Black Caribbean 2009 0.91% 1.32 938 47%
Black African 1836 0.83% 1.28 1353 74%
Total 220679# 100.00%# 1.13 69142# 31%
Notes: Unweighted, statistics except for female-male ratio which is weighted #This total includes persons in “mixed” and “other” categories, excluded from all analyses
We assigned
ethnicity of
head of
household to
children
Number of children per household 0
.51
1.5
22.
5
White British Indian Pakistani Bangladeshi Chinese Black-Caribbean Black-African
Objectives:
Discuss economic well-being of women across
different ethnic groups
Discuss differences in women’s experiences and
characteristics
Discuss the link between inequality and poverty
Discuss these issues for women living with dependant
children to understand economic well-being of children
across different ethnic groups
Children live primarily in households with at
least one woman 0
20
40
60
80
10
0
All White British Indian Pakistani Bangladeshi Chinese Black-Caribbean Black-African
Family composition of households with dependant children
only men in HH only women in HH
both men and women in HH
Individual income: Net (of taxes) individual
income that includes tax credits received as
benefits
Indicator of her personal resources and financial control
Household income: Net (of taxes) total
household income equivalised by the OECD
equivalence scale, before housing costs
― income pooling & income sharing
― Indicator of actual economic position
Different income measures
Material deprivation (only for families with
children): prevalence weighted deprivation
scores
Good indicator of persistent poverty
Not direct measures of poverty
Complements income poverty measures.
Different income measures
Mean income: Average income
Median income: Income below which 50% of
the sample’s income lies
Not sensitive to extreme values as the mean is
Within and between group income inequality:
gini coefficient, mean logarithmic deviation
If incomes within the group are not similar, then these
measures summarise that information
Different methods of summarising group’s
economic well-being
Poverty rate: Proportion below the poverty
threshold (yearly) which is 60% of the median of
equivalised household incomes of the population
for that year
Direct measure of economic disadvantage for the
group
Different methods of summarising group’s
economic well-being
Average individual and household incomes
Chinese
women
High
mean
individual
incomes
Gain from
income
pooling
0 100 200 300 400
Bangladeshi
Pakistani
Black-Caribbean
Black-African
Indian
Chinese
White British
Pakistani
Bangladeshi
Indian
White British
Black-African
Black-Caribbean
Chinese
Men
Women
Individual income (£)
0 100 200 300 400
Bangladeshi
Pakistani
Black-Caribbean
Black-African
White British
Indian
Chinese
Bangladeshi
Pakistani
Black-Caribbean
Black-African
White British
Indian
Chinese
Men
Women
Household equivalent income (£)
Average individual and household incomes
Black
Caribbean
& Black
African
women
High
mean
individual
incomes
Hardly
gain from
income
pooling
0 100 200 300 400
Bangladeshi
Pakistani
Black-Caribbean
Black-African
Indian
Chinese
White British
Pakistani
Bangladeshi
Indian
White British
Black-African
Black-Caribbean
Chinese
Men
Women
Individual income (£)
0 100 200 300 400
Bangladeshi
Pakistani
Black-Caribbean
Black-African
White British
Indian
Chinese
Bangladeshi
Pakistani
Black-Caribbean
Black-African
White British
Indian
Chinese
Men
Women
Household equivalent income (£)
Average individual and household incomes
White
British &
Indian
women
Low mean
individual
incomes
Gain from
income
pooling
0 100 200 300 400
Bangladeshi
Pakistani
Black-Caribbean
Black-African
Indian
Chinese
White British
Pakistani
Bangladeshi
Indian
White British
Black-African
Black-Caribbean
Chinese
Men
Women
Individual income (£)
0 100 200 300 400
Bangladeshi
Pakistani
Black-Caribbean
Black-African
White British
Indian
Chinese
Bangladeshi
Pakistani
Black-Caribbean
Black-African
White British
Indian
Chinese
Men
Women
Household equivalent income (£)
Average individual and household incomes
Banglades
hi and
Pakistani
women
Low mean
individual
incomes
Gain from
income
pooling
BUT…
0 100 200 300 400
Bangladeshi
Pakistani
Black-Caribbean
Black-African
Indian
Chinese
White British
Pakistani
Bangladeshi
Indian
White British
Black-African
Black-Caribbean
Chinese
Men
Women
Individual income (£)
0 100 200 300 400
Bangladeshi
Pakistani
Black-Caribbean
Black-African
White British
Indian
Chinese
Bangladeshi
Pakistani
Black-Caribbean
Black-African
White British
Indian
Chinese
Men
Women
Household equivalent income (£)
Average individual and household incomes:
for men & women with dependant children
0 100 200 300 400
Bangladeshi
Pakistani
Black-African
Black-Caribbean
Indian
White British
Chinese
Pakistani
Bangladeshi
Indian
White British
Black-African
Chinese
Black-Caribbean
Men
Women
Individual income (£)
0 100 200 300 400
Bangladeshi
Pakistani
Black-African
Black-Caribbean
Indian
White British
Chinese
Bangladeshi
Pakistani
Black-African
Black-Caribbean
Indian
White British
Chinese
Men
Women
Household equivalent income (£)
BC & BA
High
mean
individual
incomes
Lose from
income
pooling
Gains from income pooling and income sharing
Comparing women’s individual and household incomes:
Black Caribbean and Black African women
– high mean individual incomes
– hardly gain from income pooling
– Women with dependent children LOSE from pooling
Chinese women:
– high average individual incomes
– gain from income pooling
White British and Indian women:
– low average individual incomes
– gain from income pooling
Bangladeshi & Pakistani women:
– low average individual incomes
– gain from income pooling BUT…
Ethnic composition of spouse/partners
0 .2 .4 .6 .8 1
Proportion of women in couples
Black-African
Black-Caribbean
Chinese
Bangladeshi
Pakistani
Indian
White British
All
Partner of same ethnic group White British partner
Family composition of women by ethnic groups
0 20 40 60 80 100
Percent (%)
Black-African
Black-Caribbean
Chinese
Bangladeshi
Pakistani
Indian
White British
single, no children single, with children
one or more adults, no children one or more adults, and children
Family composition of women with dependent
children by ethnic groups
0 20 40 60 80 100
Percent (%)
Black-African
Black-Caribbean
Chinese
Bangladeshi
Pakistani
Indian
White British
single, with children
one or more adults, and children
Number of children per household 0
.51
1.5
22.
5
White British Indian Pakistani Bangladeshi Chinese Black-Caribbean Black-African
Individual incomes of men and women
0 100 200 300 400
Bangladeshi
Pakistani
Black-Caribbean
Black-African
Indian
Chinese
White British
Pakistani
Bangladeshi
Indian
White British
Black-African
Black-Caribbean
Chinese
Men
Women
Individual income (£)
0 100 200 300 400
Bangladeshi
Pakistani
Black-Caribbean
Black-African
White British
Indian
Chinese
Bangladeshi
Pakistani
Black-Caribbean
Black-African
White British
Indian
Chinese
Men
Women
Household equivalent income (£)
Men on an average have higher individual
incomes than women in the same ethnic
groups
Net
income
gap
White British 36.7
Chinese 24.9
Indian 43.8
Black African 27.0
Black Caribbean 24.9
Pakistani 62.0
Bangladeshi 63.6
Women with dependent children
Men and women with children have higher individual incomes
(except Bangladeshi and Pakistani women)
But lower household incomes on average than those without
(except Chinese women).
Women with children are more likely to be poor than women
without children.
They are more likely to be younger
Median individual and household incomes
0 100 200 300
Pakistani
Bangladeshi
Black-Caribbean
Black-African
Chinese
Indian
White British
Pakistani
Bangladeshi
Indian
White British
Chinese
Black-African
Black-Caribbean
Men
Women
Individual income (£)
0 100 200 300
Bangladeshi
Pakistani
Black-African
Black-Caribbean
Indian
White British
Chinese
Bangladeshi
Pakistani
Black-African
Black-Caribbean
Indian
White British
Chinese
Men
Women
Household equivalent income (£)
Median
incomes are
lower than
mean incomes
for all groups
suggesting
income higher
proportion
with low
incomes
Median individual and household incomes
0 100 200 300
Pakistani
Bangladeshi
Black-Caribbean
Black-African
Chinese
Indian
White British
Pakistani
Bangladeshi
Indian
White British
Chinese
Black-African
Black-Caribbean
Men
Women
Individual income (£)
0 100 200 300
Bangladeshi
Pakistani
Black-African
Black-Caribbean
Indian
White British
Chinese
Bangladeshi
Pakistani
Black-African
Black-Caribbean
Indian
White British
Chinese
Men
Women
Household equivalent income (£)
Rank of
Chinese
women w.r.t.
median
individual
income
is lower
Women’s individual income by ethnic groups 0
.00
1.0
02
.00
3.0
04
0 400 800 1200
£ per week
White British
Indian
0
.00
1.0
02
.00
3.0
04
0 400 800 1200
£ per week
White British
Pakistani
0
.00
1.0
02
.00
3.0
04
0 400 800 1200
£ per week
White British
Bangladeshi
0
.00
1.0
02
.00
3.0
04
0 400 800 1200
£ per week
White British
Chinese
0
.00
1.0
02
.00
3.0
04
0 400 800 1200
£ per week
White British
Black Caribbean
0
.00
1.0
02
.00
3.0
04
0 400 800 1200
£ per week
White British
Black African
Proportion of women employed, by ethnic group
010
20
30
40
50
60
70
Perc
ent (%
)
White
Brit
ish
Indian
Pak
ista
ni
Ban
glad
eshi
Chine
se
Black
-Car
ibbe
an
Black
-Afri
can
010
20
30
40
50
60
70
Perc
ent (%
)
White
Brit
ish
Indian
Pak
ista
ni
Ban
glad
eshi
Chine
se
Black
-Car
ibbe
an
Black
-Afri
can
All women Women with dependant childrenWhite
British
Men:
87.2%
White British Men: 66.6%
Proportion of 25-64 year old women employed, by
ethnic group 0
10
20
30
40
50
60
70
Perc
ent (%
)
Whi
te B
ritish
India
n
Pakist
ani
Bangla
deshi
Chi
nese
Black
-Car
ibbean
Black
-Afri
can
010
20
30
40
50
60
70
Perc
ent (%
)
Whi
te B
ritish
India
n
Pakist
ani
Bangla
deshi
Chi
nese
Black
-Car
ibbean
Black
-Afri
can
All women Women with dependant children
Women’s household income by ethnic groups 0
.00
1.0
02
.00
3.0
04
0 400 800 1200
£ per week
White British
Indian
0
.00
1.0
02
.00
3.0
04
0 400 800 1200
£ per week
White British
Pakistani
0
.00
1.0
02
.00
3.0
04
0 400 800 1200
£ per week
White British
Bangladeshi
0
.00
1.0
02
.00
3.0
04
0 400 800 1200
£ per week
White British
Chinese
0
.00
1.0
02
.00
3.0
04
0 400 800 1200
£ per week
White British
Black Caribbean
0
.00
1.0
02
.00
3.0
04
0 400 800 1200
£ per week
White British
Black African
Individual income inequalities within ethnic groups
Mean logarithmic deviation
All men and
women All women
Men and women
living with
dependant children
Women living
with dependant
children White British 0.42 0.39 0.44 0.35
Indian 0.73 0.82 0.72 0.71
Pakistani 0.88 0.99 0.79 0.79
Bangladeshi 0.77 0.80 0.71 0.67
Chinese 0.78 0.87 0.88 1.05
Black Caribbean 0.44 0.39 0.48 0.28
Black African 0.64 0.61 0.62 0.65
High
individual
income
inequalities
driven by
zero
incomes
Household income inequalities within ethnic groups
Mean logarithmic deviation
All men and
women
Men and women
living with
dependant children White British 0.22 0.33
Indian 0.30 0.37
Pakistani 0.26 0.33
Bangladeshi 0.18 0.30
Chinese 0.45 0.41
Black Caribbean 0.23 0.32
Black African 0.28 0.35
Household
income
inequalities
lower than
individual
income
inequalities.
Individual Income gaps for women of different
ethnic groups vis-à-vis White British Men
White British women
Indian women
Pakistani women
Bangladeshi women
Chinese women
Black Caribbean women
Black African women
0 10 20 30 40 50 60 70
Individual Income Gap (%)Women
vis-a-vis all White British Men
95% confidence interval Mean gap
Individual Income gaps for women of different
ethnic groups vis-à-vis White British Men
White British women
Indian women
Pakistani women
Bangladeshi women
Chinese women
Black Caribbean women
Black African women
0 10 20 30 40 50 60 70
Individual Income Gap (%)Women
vis-a-vis all White British Men
95% confidence interval Mean gap
All income
gaps are
negative and
significantly
different
from zero
Individual Income gaps for women of different
ethnic groups vis-à-vis White British Men
White British women
Indian women
Pakistani women
Bangladeshi women
Chinese women
Black Caribbean women
Black African women
0 10 20 30 40 50 60 70
Individual Income Gap (%)Women
vis-a-vis all White British Men
95% confidence interval Mean gap
Pay gaps are
16-17% for
women with
full time
employment Source: Longhi
and Platt 2008
Rank by pay gaps# Rank by income gaps
Chinese 1 1
Black Caribbean 2 1
Indian 3 5
White British 4 4
Bangladeshi 5 6
Black African 6 3
Pakistani 7 7
Income gaps and pay gaps for women of different
ethnic groups vis-à-vis White British Men
#Source: Longhi and Platt 2008 using the Labour Force Survey
Household Income and % Poor
White British M
White British W
Indian W
Pakistani W
Bangladeshi W
Chinese W
Black Caribbean W
Black African W
0 10 20 30 40 50% poor
0 100 200 300
Mean income (£ pw)
Household Income % poor
Household Income and % Poor
White British M
White British W
Indian W
Pakistani W
Bangladeshi W
Chinese W
Black Caribbean W
Black African W
0 10 20 30 40 50% poor
0 100 200 300
Mean income (£ pw)
Household Income % poor
Household Income and % Poor
White British M
White British W
Indian W
Pakistani W
Bangladeshi W
Chinese W
Black Caribbean W
Black African W
0 10 20 30 40 50% poor
0 100 200 300
Mean income (£ pw)
Household Income % poor
Poverty Rates
Child poverty rates are higher
than that of women or men in
the same ethnic group
All adults Women Men Women Men Children With dependant
Children
White British 15.5 16.7 14.1 17.4 13.3 19.4
Indian 21.9 23.0 20.8 26.0 24.3 27.4
Pakistani 45.9 46.0 45.7 49.8 49.3 54.6
Bangladeshi 50.1 51.9 48.2 57.7 54.6 64.2
Chinese 20.5 20.6 20.5 24.7 20.6 31.3
Black-Caribbean 22.2 23.5 20.7 24.6 23.0 25.6
Black-African 23.9 22.7 25.1 28.8 27.3 34.7
Source: Family Resources Survey and Households Below Average Income 2003/4-2007/8
Poverty Rates
All adults Women Men Women Men Children With dependant
Children
White British 15.5 16.7 14.1 17.4 13.3 19.4
Indian 21.9 23.0 20.8 26.0 24.3 27.4
Pakistani 45.9 46.0 45.7 49.8 49.3 54.6
Bangladeshi 50.1 51.9 48.2 57.7 54.6 64.2
Chinese 20.5 20.6 20.5 24.7 20.6 31.3
Black-Caribbean 22.2 23.5 20.7 24.6 23.0 25.6
Black-African 23.9 22.7 25.1 28.8 27.3 34.7
Source: Family Resources Survey and Households Below Average Income 2003/4-2007/8
Poverty Rates
All adults Women Men Women Men Children With dependant
Children
White British 15.5 16.7 14.1 17.4 13.3 19.4
Indian 21.9 23.0 20.8 26.0 24.3 27.4
Pakistani 45.9 46.0 45.7 49.8 49.3 54.6
Bangladeshi 50.1 51.9 48.2 57.7 54.6 64.2
Chinese 20.5 20.6 20.5 24.7 20.6 31.3
Black-Caribbean 22.2 23.5 20.7 24.6 23.0 25.6
Black-African 23.9 22.7 25.1 28.8 27.3 34.7
Source: Family Resources Survey and Households Below Average Income 2003/4-2007/8
Women’s poverty rates are
almost always higher than that
of men the same ethnic group
<
Individual income composition
0 20 40 60 80 100
Percent share
Black-African
Black-Caribbean
Chinese
Bangladeshi
Pakistani
Indian
White British
Women
Earnings Self-employment Pension income
Benefits Tax credits as benefits Other income
Age composition of all women by ethnic groups
0 20 40 60 80 100
Percent (%)
Black-African
Black-Caribbean
Chinese
Bangladeshi
Pakistani
Indian
White British
16-24 25-34 35-44 45-54
55-64 65-74 75+
Overall
women in all
non-white
groups are
more likely to
be younger.
More than
75% of EM
women are 54
years or less
while only
59% of white
women are 55
or less
Age composition of women with dependent children by
ethnic groups
0 20 40 60 80 100
Percent (%)
Black-African
Black-Caribbean
Chinese
Bangladeshi
Pakistani
Indian
White British
16-24 25-34 35-44 45-54
55-64 65-74 75+
As expected
women with
dependent
children are
relatively
younger:
around 80%
are 44 years
or less
Very little variation in income gaps between ethnic
groups for different age groups
Except at very young or very old ages
Age-income profiles 5
01
00
150
200
250
300
350
16-24 25-34 35-44 45-54 55-64 65-74 75+
age in years
Individual Income (£ per week)
50
100
150
200
250
300
350
16-24 25-34 35-44 45-54 55-64 65-74 75+
age in years
Equivalent Household Income (£ per week)
White British Pakistani Bangladeshi
Individual Income
Earnings
– important source for all, 50-60%
– except for Bangladeshi & Pakistani women, 30-40% & 25-30%
for women with dependent children
Non-pension benefits and tax credits
– Important for Bangladeshi & Pakistani women, 45-50%
– More so for Bangladeshi and Pakistani women with dependant
children, 10% higher
– Relatively important for Caribbean and Black African women,
20-25%
Women’s income composition
Individual Income
Pension
– Important for White British women, 20%
Other income and self-employment income
– Important source for Chinese women
Household Income
Labour income more important, and
Non-pension benefits & tax credits less important
Women’s income composition
Labour income
– most important contributing factor, more so for
men
– Self-employment disproportionately higher
– More so for women with dependent children, less so
for men with dependent children
Non-pension benefit income & tax credits
– reduces income inequality a little, 2%
Contribution of different income sources to
income inequality
21 questions of the following type, where 11 are about adults or
family circumstances and 10 only about children
Do you [and your family/and your partner] have a holiday away
from home for at least one week a year, whilst not staying with
relatives at their home?
― We/I have this
― We/I would like to have this but cannot afford this at the moment
― We/I do not want / need this at the moment
― [Does not apply]
Total deprivation score is a prevalence weighted sum of individual
item scores (1 if cannot afford, 0 otherwise). Note only available for families
with children.
Material deprivation scores
Do you
have a holiday away from home for at least one week a year, whilst not staying with
relatives at their home?
have friends or family around for a drink or meal at least once a month?
have two pairs of all weather shoes for [Name of all adults in Benefitunit]?
have enough money to keep your home in a decent state of decoration?
have household contents insurance?
make regular savings of £10 a month or more for rainy days or retirement?
replace any worn out furniture?
replace or repair major electrical goods such as a refrigerator or a washing machine,
when broken?
have a small amount of money to spend each week on yourself (not on your family)?
have a hobby or leisure activity?
in winter, are you able to keep this accommodation warm enough?
Material deprivation items: 11 adult items
Does your child have do your children have
a family holiday away from home for at least one week a year?
leisure equipment such as sports equipment or a bicycle?
celebrations on special occasions such as birthdays, Christmas or other religious
festivals?
an outdoor space or facilities nearby where they can play safely?
Does your child/do your children
go swimming at least once a month?
do a hobby or leisure activity?
have friends around for tea or a snack once a fortnight?
go to toddler group / nursery / playgroup at least once a week.?
go on school trips?
Are there enough bedrooms for every child of 10 or over of a different sex to have
their own bedroom?
Material deprivation items: 10 children items
Distribution of deprivation scores of women with
children by ethnic groups 0
.2.4
.60
.2.4
.60
.2.4
.6
0 50 100
0 50 100 0 50 100
White British Indian Pakistani
Bangladeshi Chinese Black Caribbean
Black African Total
Pro
po
rtio
n w
ith d
epri
vatio
n s
core
Deprivation score
Higher
proportion
with low
deprivation
scores:
White
British,
Indian and
Chinese
women
Distribution of deprivation scores of women with
children by ethnic groups 0
.2.4
.60
.2.4
.60
.2.4
.6
0 50 100
0 50 100 0 50 100
White British Indian Pakistani
Bangladeshi Chinese Black Caribbean
Black African Total
Pro
po
rtio
n w
ith d
epri
vatio
n s
core
Deprivation score
Higher
proportion
with high
deprivation
scores:
Bangladeshi,
Black
African,
Pakistani
and Black
Caribbean
women. Highest deprivation scores for
Bangladeshi and Black African
women
Distribution of deprivation scores of children by
ethnic groups 0
.50
.50
.5
0 50 100
0 50 100 0 50 100
White British Indian Pakistani
Bangladeshi Chinese Black Caribbean
Black African Total
Pro
port
ion w
ith
depriva
tion s
core
Deprivation score
Nearly half of Bangladeshi
children have incomes < 70% of
Median
AND deprivation scores >25
Compared to 16-17% of all
children
Same picture
as for
women.
Bangladeshi
and Black
African
children
have highest
deprivation
scores
Children Women Men
Living with children
Bangladeshi 48.8% 40.4% 39.2%
Pakistani 39.1% 30.9% 29.5%
Black African 33.5% 29.3% 20.2%
Black Caribbean 21.0% 20.4% 15.2%
White British 14.5% 12.9% 7.1%
Indian 13.4% 11.9% 10.1%
Chinese 8.3% 10.1% 6.5%
Distribution of child poverty indicator by ethnic
groups
16-17% of
all
children
fall into
this
category
(DWP
2009)
Child poverty indicator: Family deprivation
score>25 & household income <70% of median
Deprivation scores by poverty status
White British
Indian
Pakistani
Bangladeshi
Chinese
Black Caribbean
Black African
0 10 20 30 40
Deprivation Score
Men Women
White British
Indian
Pakistani
Bangladeshi
Chinese
Black Caribbean
Black African
0 10 20 30 40
Deprivation Score
Men Women
Not poor Poor
How would poverty rates change if group income inequalities were
eliminated?
Simulate women’s individual and household incomes to
eliminate within and between group income inequalities
Assign to all women the mean income of women in her
ethnic group
Assign age-adjusted mean income of White British
women to all women
Do not change men’s incomes
Re-calculate household incomes and the new poverty
lines and poverty status
Link between income inequality of women and poverty
020
40
60
80
10
0
Perc
ent po
or
AllWhite British
IndianPakistani
BangladeshiChinese
Black CaribbeanBlack African
Ethnic groupNew poverty rates using new poverty line after equialisation of
Within group household income Within group individual income
Between group household income Between group individual income
Original Poverty Rate
Women’s new simulated poverty rates
020
40
60
80
10
0
Perc
ent po
or
AllWhite British
IndianPakistani
BangladeshiChinese
Black CaribbeanBlack African
Ethnic groupNew poverty rates using new poverty line after equialisation of
Within group household income Within group individual income
Between group household income Between group individual income
Original Poverty Rate
Men’s new simulated poverty rates
Eliminating
within group
household
income
inequality
Eliminating
within group
individual
income
inequality
Eliminating
between group
household
income
inequality
Eliminating
between group
individual
income
inequality
All men and women
Move out of poverty 14% 10% 14% 10%
Move into poverty 1% 4% 1% 5%
Remain in poverty 2% 6% 2% 7%
Remain out of poverty 83% 80% 82% 79%
Women
Move out of poverty 17% 13% 18% 12%
Move into poverty 0% 5% 0% 7%
Remain in poverty 0% 5% 0% 6%
Remain out of poverty 82% 77% 82% 75%
Men
Move out of poverty 11% 8% 11% 8%
Move into poverty 2% 2% 2% 2%
Remain in poverty 5% 8% 4% 7%
Remain out of poverty 83% 82% 82% 83%
Eliminating
within group
household
income
inequality
Eliminating
within group
individual
income
inequality
Eliminating
between group
household
income
inequality
Eliminating
between group
individual
income
inequality
All men and women with
dependant children
Move out of poverty 17% 7% 18% 10%
Move into poverty 1% 10% 0% 6%
Remain in poverty 1% 10% 0% 8%
Remain out of poverty 82% 72% 82% 76%
Women with dependant
children
Move out of poverty 19% 8% 19% 10%
Move into poverty 0% 14% 0% 8%
Remain in poverty 1% 12% 0% 9%
Remain out of poverty 80% 66% 81% 72%
Children
Move out of poverty 19% 8% 20% 10%
Move into poverty 1% 11% 0% 7%
Remain in poverty 1% 13% 0% 10%
Remain out of poverty 79% 69% 79% 72%
Diversity of women’s income within and
between ethnic groups
But a substantial proportion of women are poor
across different ethnic groups to varying degree
Women’s poverty is very closely related to
poverty of children as most children live with at
least one woman guardian
To conclude
Poverty is determined not just by women’s
wages, or even their total income
Who they live with matters: income pooling
(sharing rule) and family size
Different patterns of women’s own income and
income pooling across groups
We need to measure economic well-being
directly
To conclude
Bangladeshi & Pakistani women: low own
income, low income of spouses
Black Caribbean and African women: high own
income, relatively lower income of
spouses/partner, single mothers
Indian and Chinese women: gain from income
pooling on average, but high within group
income inequality
To conclude
