Income Inequality, Welfare and Poverty in Ukraine

N. Kakwani

Development and Change, 1996, vol. 27, issue 4, 663-691

Abstract: Ukraine is now faced with economic crisis on an unprecedented scale. The country is on the brink of hyperinflation. The government has to follow rigorous demand management policies which entail lowering the standard of living of the population. To design policies which protect the poorest and most vulnerable groups in the society, it is important to understand the nature of poverty and income inequality. This study attempts to do exactly this for Ukraine for the first time. The paper demonstrates that the standard of living in Ukraine has been falling at an alarming rate. The government welfare programmes are ineffective in protecting the poorest and most vulnerable groups in the society. This article provides an empirical basis to design appropriate policies, but a lot more work needs to be done.

Date: 1996
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