Why Are Child Poverty Rates Higher in Britain than in Germany?: A Longitudinal Perspective

Stephen Jenkins and Christian Schluter

Journal of Human Resources, 2003, vol. 38, issue 2

Abstract: We analyze why child poverty rates were much higher in Britain than in Western Germany during the 1990s, using a framework focusing on poverty transition rates. Child poverty exit rates were significantly lower, and poverty entry rates significantly higher, in Britain. We decompose these cross-national differences into differences in the prevalence of ‘‘trigger events’’ (changes in household composition, household labor market attachment, and labor earnings), and differences in the chances of making a poverty transition conditional on experiencing a trigger event. The latter are the most important in accounting for the cross-national differences in poverty exit and entry rates.

Date: 2003
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