Welfare Reform on the Web (Summer 2003): Welfare State - Overseas

MOVING IN AND OUT OF POVERTY: THE IMPACT OF WELFARE REGIMES ON POVERTY DYNAMICS IN THE EU

R. Layte and C. T. Whelan

European Societies, Vol. 5, 2003, p.167-191

The article uses data from five waves of the European Community Household panel Survey to outline the nature of poverty persistence and poverty dynamics across a large number of countries. It finds that poverty is experienced by a far higher number of individuals when viewed longitudinally rather than cross-sectionally. There is also evidence that persistent poverty is concentrated in pockets among certain parts of the population. Variations in rates of persistent poverty across the countries studied are associated with the welfare regime in force. The article concludes that social protection policies adopted by nation states and the institutions of social welfare are of vital importance in preventing descent into poverty in the event of employment loss etc.