Nowcasting: estimating developments as regards the risk of poverty and income distribution in 2012 and 2013

Publication type

Report

Series Number

1/2013

Series

Social Situation Monitor Research Notes

Authors

Publication date

December 15, 2013

Summary:

The at-risk-of-poverty rate is one of the three indicators used for monitoring progress towards the Europe 2020 poverty and social exclusion reduction target. Timeliness of this indicator is critical for monitoring the effectiveness of policies. However, due in part to the complicated nature of the European Union Statistics on Income and Living Conditions (EU-SILC), estimates of the number of people at risk of poverty are published with a 2 to 3 year delay. The present paper is divided into two parts. The first presents a method of estimating (‘nowcasting’) the current distribution of income between households, including the at-risk-of-poverty rate, for the European Union countries using a tax-benefit microsimulation model (EUROMOD) combined with up-to-date macro-level statistics. The method is applied to 10 EU Member States experiencing differing economic conditions over the period, including those which have been affected comparatively little by the crisis as well as those which have suffered a major reduction in economic activity and employment. The second part uses the European Labour Force Survey to estimate changes in household work intensity up to 2012 and the implications of these for the relative number of people of working age at risk of poverty, as well as assessing the likely changes in both these indicators in 2013 given employment development up to the middle of the year.

Subjects

Link

http://ec.europa.eu/social/keyDocuments.jsp?policyArea=&type=0&country=0&year=0&advSearchKey=ssonotes&mode=advancedSubmit&langId=en

#522453

News

Latest findings, new research

Publications search

Search all research by subject and author

Podcasts

Researchers discuss their findings and what they mean for society

Projects

Background and context, methods and data, aims and outputs

Events

Conferences, seminars and workshops

Survey methodology

Specialist research, practice and study

Taking the long view

ISER's annual report

Themes

Key research themes and areas of interest