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Social transfers and income distribution in Cyprus

Author

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  • Christos Koutsampelas

    (Economics Research Centre, University of Cyprus)

Abstract

The urgent need of the Cypriot state for fiscal adjustment puts considerable pressure on social spending. Yet, this process entails the danger of derailing the long-term goals of the government for tackling inequality and poverty. The present paper employs the micro data of the 2008/9 Family Expenditure Survey with a three-fold target. Firstly, we aim at measuring the performance of the Cypriot welfare state on tackling inequality using a statistical approach, as well as a welfare-based approach. Secondly, we assess the anti-poverty impact of social transfers with regard to incidence, intensity and inequality of poverty. Finally, based on the empirical results of the analysis, we provide policy recommendations that serve as useful input for the challenges that policymakers are going to face in the near future.

Suggested Citation

  • Christos Koutsampelas, 2011. "Social transfers and income distribution in Cyprus," Cyprus Economic Policy Review, University of Cyprus, Economics Research Centre, vol. 5(2), pages 35-55, December.
  • Handle: RePEc:erc:cypepr:v:5:y:2011:i:2:p:35-55
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    File URL: https://www.ucy.ac.cy/erc/documents/KOUTSAMPELAS_35-55.pdf
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    References listed on IDEAS

    as
    1. Panos Pashardes & Alexandros Polycarpou, 2008. "Income Tax Evasion, Inequality and Poverty," Cyprus Economic Policy Review, University of Cyprus, Economics Research Centre, vol. 2(2), pages 37-49, December.
    2. Panos Pashardes, 2007. "Why Child Poverty in Cyprus is so Low," Cyprus Economic Policy Review, University of Cyprus, Economics Research Centre, vol. 1(2), pages 3-16, December.
    3. Soteroula Hajispyrou & Nadia Nicolaidou, 2007. "Income Inequality in Cyprus," Cyprus Economic Policy Review, University of Cyprus, Economics Research Centre, vol. 1(1), pages 81-94, June.
    4. Panos Pashardes & Alexandros Polycarpou, 2011. "Poverty and Labour Market Participation of Public Assistance Recipients in Cyprus," Cyprus Economic Policy Review, University of Cyprus, Economics Research Centre, vol. 5(1), pages 23-42, June.
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    Cited by:

    1. Mihaylova Svilena & Bratoeva-Manoleva Silviya, 2017. "Social Transfers and Income Inequality in Bulgaria," South East European Journal of Economics and Business, Sciendo, vol. 12(1), pages 38-49, April.
    2. Koutsampelas, Christos, 2014. "The introduction of a GMI scheme in Cyprus: family structure, equivalence scales and policy challenges," EUROMOD Working Papers EM10/14, EUROMOD at the Institute for Social and Economic Research.
    3. Nektarios A. Michail & Ioanna Evangelou & Rozmari Hadjicharalambous, 2020. "Income and Wealth Inequality in Cyprus: Empirical evidence from the Household Finance and Consumption Survey," Cyprus Economic Policy Review, University of Cyprus, Economics Research Centre, vol. 14(2), pages 50-60, December.

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