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Subjective equivalence scales in Eastern versus Western European countries

Mysíková, Martina; Želinský, Tomáš; Garner, Thesia I.; Fialová, Kamila

Authors

Martina Mysíková

Thesia I. Garner

Kamila Fialová



Abstract

We show that economies of scale estimated individually for each EU country differ from the officially adopted OECD-modified scale; the differences across the countries further confirm the prevailing East-West disparity. Using the minimum income question in the 2019 EU-Statistics on Income and Living Conditions survey, we demonstrate that applying the estimated country-specific subjective equivalence scales, instead of the uniform OECD-modified scale, results in up to a 6 pp change in the at-risk-of-poverty rate. If inadequate equivalence scales are used, the equivalised income fails to inform the statistics of income poverty and prevents national social policies from being correctly targeted.

Citation

Mysíková, M., Želinský, T., Garner, T. I., & Fialová, K. (2022). Subjective equivalence scales in Eastern versus Western European countries. Contemporary Economic Policy, 40(4), 659-676. https://doi.org/10.1111/coep.12579

Journal Article Type Article
Acceptance Date Jun 10, 2022
Online Publication Date Jun 30, 2022
Publication Date 2022
Deposit Date Jul 28, 2022
Publicly Available Date Jul 1, 2024
Journal Contemporary Economic Policy
Print ISSN 1074-3529
Electronic ISSN 1465-7287
Publisher Wiley
Peer Reviewed Peer Reviewed
Volume 40
Issue 4
Pages 659-676
DOI https://doi.org/10.1111/coep.12579
Public URL https://durham-repository.worktribe.com/output/1196530

Files

This file is under embargo until Jul 1, 2024 due to copyright restrictions.



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