Methodology for Developing Reference Budgets in the Republic of Bulgaria
Methodology for Developing Reference Budgets in the Republic of Bulgaria

Author(s): Svetlana Todorova, Nedyalko Valkanov, Vanya Hristova
Subject(s): Economy, National Economy, Business Economy / Management, Micro-Economics, ICT Information and Communications Technologies
Published by: Икономически университет - Варна
Keywords: reference budgets; social policy; income adequacy; living standards; Bulgaria
Summary/Abstract: Bulgaria faces persistently high poverty, inequality, and weak social policy instruments. Existing measures, such as the at-risk-of-poverty threshold or the “subsistence minimum,” rely on static indicators that fail to capture real living costs and lack public legitimacy. This report proposes a methodology for developing reference budgets as an alternative, adapting the European Reference Budgets Network (ERBN) framework to the Bulgarian context. The approach combines three elements: focus groups to define socially shared expectations of adequacy, expert panels using the Delphi method to ensure methodological rigor, and systematic market pricing and data processing to produce transparent cost estimates. The Varna pilot project marks the first attempt to apply this process. By grounding standards in both social validation and empirical evidence, reference budgets can enhance policy accountability, strengthen social resilience, and align Bulgaria with European debates on income adequacy.

• Details
• Contents