Albania: Income Distribution, Poverty, and Social Safety Nets in the Transition, 1991-1993
International Monetary Fund
No 1994/123, IMF Working Papers from International Monetary Fund
Abstract:
This paper examines developments in Albania’s income distribution and poverty during the transition to a market-oriented economy. It pays particular attention to the impact of price liberalization on the agricultural terms of trade and production, the decline in state enterprise employment, emigrant remittances, and social safety nets. Income and consumption data produce conflicting results. Based on income data, including average presumptive agricultural incomes and state sector wages, there is a significant rise in real income in rural areas and a decline in real income in urban areas. Based on food consumption data, however, a large decline in urban real incomes is implausible. Poverty in both the urban and the rural population was mitigated by the presence of formal social safety nets, as well as informal arrangements in the form of emigrant remittances.
Keywords: WP; private sector; subsistence income; income data; state enterprise; unemployment insurance; distribution data; cash income; wage distribution; income development; Income; Social assistance spending; Unemployment benefits; Remittances; Consumption (search for similar items in EconPapers)
Pages: 72
Date: 1994-10-01
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Persistent link: https://EconPapers.repec.org/RePEc:imf:imfwpa:1994/123
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