Abstract
ABSTRACT We use a dynamic correlated random effects probit model with endogenous initial conditions for three poverty measures to assess child poverty persistence after controlling for structural household characteristics and economic variables. The empirical analysis is based on the 2015–2018 longitudinal sample of the Survey of Income and Living Conditions for Slovenia, Croatia, and Serbia. Results show strong poverty persistence regardless of poverty measure, with much stronger effects observed for Croatia and Serbia than for Slovenia. Social transfers have more than twice the capacity to lift children out of poverty in Slovenia compared to the other two countries.
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