Social Transfers and Income Inequality in Bulgaria
Svilena Mihaylova and
Bulgarian Economic Papers (www.bep.bg) from St Kliment Ohridski University of Sofia, Faculty of Economics and Business Administration / Center for Economic Theories and Policies
The paper analyzes the distributional effects of social transfers in Bulgaria in the period 2000-2014, using income inequality decomposition by factor components. The results suggest that social transfers mitigate income inequality, but this effect varies depending on the type of transfer. Pensions exert the strongest influence due to their significant share in total income, which also rises over time. Family allowances are pro-poor in nature, but because of their small share in beneficiaries’ total income, their impact on overall inequality is much weaker. “Other social benefits” have the weakest inequality-reducing effect, which is due to their higher concentration towards the richest decile and increasing share in total income.
Keywords: social transfers; income inequality; redistribution (search for similar items in EconPapers)
JEL-codes: I38 H55 D31 (search for similar items in EconPapers)
New Economics Papers: this item is included in nep-eur
Date: 2016-10, Revised 2016-10
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Journal Article: Social Transfers and Income Inequality in Bulgaria (2017)
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Persistent link: https://EconPapers.repec.org/RePEc:sko:wpaper:bep-2016-10
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