Social Transfers and Income Inequality in Bulgaria
Social Transfers and Income Inequality in Bulgaria
Author(s): Svilena Mihaylova, Silviya Bratoeva-ManolevaSubject(s): Economy, National Economy, Business Economy / Management, Public Finances, Human Resources in Economy, Business Ethics, Socio-Economic Research
Published by: Софийски университет »Св. Климент Охридски«
Keywords: social transfers; income inequality; redistribution; I38;, H55; D31
Summary/Abstract: The paper analyzes the distributional effects of social transfers in Bulgaria in the period 2000- 2014, using income inequality decomposition by factor components. The results suggest that social transfers mitigate income inequality, but this effect varies depending on the type of transfer. Pensions exert the strongest influence due to their significant share in total income, which also rises over time. Family allowances are pro-poor in nature, but because of their small share in beneficiaries’ total income, their impact on overall inequality is much weaker. “Other social benefits” have the weakest inequality-reducing effect, which is due to their higher concentration towards the richest decile and increasing share in total income.
Journal: Bulgarian Economic Papers
- Issue Year: 2016
- Issue No: 10
- Page Range: 1-22
- Page Count: 22
- Language: English