Rates, dynamics, and factors of absolute and relative poverty: regional aspect

Уровень, динамика, факторы абсолютной и относительной бедности: региональный аспект

Pastukhova, Elena (Пастухова, Елена) (), Mukhachyova, Anna (Мухачёва, Анна) () and Kochneva, Oksana (Кочнева, Оксана) ()
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Pastukhova, Elena (Пастухова, Елена): Kemerovo State University
Mukhachyova, Anna (Мухачёва, Анна): Yaroslav-the-Wise Novgorod State University
Kochneva, Oksana (Кочнева, Оксана): Kuzbass Regional Institute of Professional Education Development

Voprosy upravleniya / Management Issues, 2021, 80-92

Abstract: Significant differences in the scale and profile of poverty in Russian regions are an obstacle to achieving the national goal of reducing the poverty level by half by 2030. In the Siberian Federal District, the poverty level has been above the average in Russia for a long time and it still remains so. This determines the scientific and practical significance of analyzing the dynamics of poverty, its correlation with demographic, social and economic factors that significantly affect absolute or relative poverty. The absolute and relative approaches are the theoretical and methodological basis of the research that help to analyze the level and dynamics of poverty. Demographic, social and economic factors determining poverty profile have been identified. The information base of the study is regional statistics for the Siberian territories. The methods of comparative and dynamic analysis and Spearman’s rank correlations were used. Different dynamics of absolute and relative poverty during the crisis and recovery growth have been identified. Regions with persistently high levels of absolute poverty (Tyva Republic, Altai Republic), territories with average rate and rather low rate of poor citizens have been revealed. Absolute poverty increased during the 2014–2016 crisis. Relative poverty declined due to the reduction in intraregional income inequality in 2014–2016. Absolute poverty is determined by demographic factors (“child load”), the level of urbanization, low per capita incomes, and a fairly high level of general unemployment. An increase in average per capita money income adjusted to the cost of living in the regions, decreases absolute poverty. Use of an income of less than 60% of the median income as a criterion for relative poverty changes the demographic and regional profile of poverty. Poverty is reduced in areas with a high child rate if this criterion is applied. However, the relative poverty level of pensioners rises. The factors of growth of the level of relative poverty are determined: positive dynamics of employment, growth of average per capita money income adjusted to the cost of living in the regions. The research results are applicable in the development of social policy to reduce poverty in the most vulnerable social and demographic groups of the population.

Keywords: absolute poverty; relative poverty; demographic factors; monetary income; minimum cost of living; general unemployment rate; employment level; Siberian regions (search for similar items in EconPapers)
Date: 2021
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