Poverty In Sweden Research Articles

Who are the In-Work Poor? A Study of the Profile and Income Mobility Among the In-Work Poor in Sweden from 1987 to 2016

We studied the development, profile, and income mobility among individuals in in-work poverty in Sweden over a period of 30 years using data covering the entire population on a yearly basis from 1987 to 2016. By introducing a more solid work requirement that stretches over more time than the frequently used ‘seven-month rule’, we make sure that the in-work poor person in our study is mainly working. Our results show that the profile has changed: in 1987, the typical in-work poor person was a native-born single woman, but in 2016, they were a married man born outside of Sweden. When modelling income mobility over two 5-year periods, our results show that changes in household composition explain both upward and downward mobility and that it has become harder to change income position. Interpreting the results on a structural level, two conclusions can be drawn. As in-work poverty is no longer female-dominated, the Swedish policy for gender equality has been successful. As it is now closely connected with immigration status, the integration of immigrants into the labour market must improve.

Energy poverty in Sweden: Using flexibility capital to describe household vulnerability to rising energy prices

Energy poverty has been kept at bay in Sweden for the past decades owing to several beneficial circumstances. However, geopolitical pressure and an accelerating energy transition are changing the circumstances and exposing vulnerabilities to energy poverty in Sweden particularly connected to electricity price peaks. The circumstantial nature of the exposed risks for energy poverty motivates a conceptualisation of the concept in Sweden through the energy vulnerability framework. Also recognising that flexibility is an important ability to be able to dodge short-term price peaks, this paper combines the energy vulnerability literature with the concept of flexibility capital. Using national survey data from 2021, this study seeks to explore vulnerability to heating-related energy poverty in Swedish single-family housing by analysing factors influencing households' self-perceived ability to pay for heating as well as their self-perceived flexibility capital. Logistic regression models revealed that there are geographic as well as sociodemographic factors influencing the energy vulnerability experienced by Swedish households. Extending the understanding of energy poverty vulnerability beyond mere heating affordability provides a more nuanced understanding of the different types of risks that may emerge among households; for example, low affordability combined with low flexibility capital increases the risk for financial effects of energy poverty, whereas low affordability combined with high flexibility capital increases the risk for energy poverty affecting comfort, convenience and wellbeing. By integrating energy vulnerability with flexibility capital, this paper contributes to a more holistic understanding of challenges connected to a transitioning energy system in general and in the Swedish context in particular.

Who is counted as in-work poor? Testing five different definitions when measuring in-work poverty in Sweden 1987–2017

PurposeThere is ongoing debate amongst in-work poverty researchers as to how to answer the question “who is counted as in-work poor?” and how to define the minimum size of work that should be used to determine a “working threshold”. The purpose of this paper aims to contribute to this debate by testing five different definitions of a “working threshold” and discussing their implications when testing the different measurement outcomes.Design/methodology/approachThe authors use data from Statistics Sweden (SCB), including the total population registered as living in Sweden for each year from 1987 to 2017. All calculations are on a yearly basis and in fixed prices (2017). The data set used is based on linked administrative data retrieved from Statistics Sweden and the software used is SAS 9.4.FindingsResults show how in-work poverty trends differ by measurement approach. The two definitions with the lowest income thresholds are found to include a very heterogenic group of individuals. The development of in-work poverty in Sweden over 30 years show decreasing in-work poverty during the first decade followed by an increase to almost the same levels at the end of the period. In-work poverty in Sweden has transformed from being female-dominated in 1987 and the typical person in in-work poverty 2017 is a male immigrant, aged 26–55 years.Practical implicationsThis methodological discussion might lead to a new definition of who is a worker amongst the in-work poor, which could consequently affect who is counted as being in in-work poverty and lead to new social policy measures.Originality/valueThis is, to the authors' knowledge, the first time different definitions of work requirement used to define in-work poverty have been tested on a data set including the total population and over a period of 30 years.

Energy inequality as a risk in socio-technical energy transitions: The Swedish case of individual metering and billing of energy for heating

Improved energy efficiency in the housing stock is an important undertaking in the energy transition but is associated with both opportunities and risks. While there are possibilities to reduce energy inequalities in the housing stock, inequalities also risk being aggravated as actions for energy efficiency usually aim at the least energy efficient—and thus sometimes the least privileged—parts of the housing stock. In this paper, we use two different energy performance metrics (kWh/m2 and kWh/capita) to investigate the energy inequality in the Swedish multifamily building stock and explore the effects of these inequalities in the energy transition. More specifically, we investigate the implementation of individual metering and billing of energy for heating, which was recently implemented in the least energy efficient part of the housing stock. It was found that low-income households were overrepresented in the affected buildings. The consequence of this implementation is thus that the strongest protection against energy poverty in Sweden (collective billing for heating) is removed in a part of the housing stock where two of the predictors for energy poverty—low income and low energy performance—are overrepresented. It was concluded that acknowledging inequalities is crucial to avoid risks associated with the energy transition.

The Daily Life and Reality Behind Child Poverty in Sweden: Children\u2019s and Adolescents\u2019 Voices

Today, approximately 12% of children growing up in Sweden are living in what could be defined as child poverty. Although the number of children living in poverty has slightly decreased during recent years, social exclusion and segregation between different groups in society have increased. The present study will shed a light on the reality of how children and adolescents living in poverty experience their daily lives. Analytically, the study explores how these experiences connect to different practices concerning child poverty. The study draws from an empirical and theoretical analysis of interviews with children and adolescents published in the Swedish Save the Children’s report At the margin. The daily life behind the statistics of child poverty [På marginalen. Vardagen bakom barnfattigdomsstatistiken]. The results reveal that lack of material and financial resources creates social stigmatization for this group of children and adolescents; they have fewer possibilities to spend time with peers, and this quite often also results in self-exclusion. The children’s and adolescents’ narratives also indicate the importance of the social role of the school, here in relation to the school providing nutritious school lunches and free packed lunch for school excursions.

New Deeds for New Needs: Civil Society Action Against Poverty in Sweden

The emergence of new types and new levels of poverty in Sweden has spurred civil society organizations to take a more active role in domestic relief work. Their work is not least directed toward groups of poor with limited access to public welfare in Sweden, in most cases because they are not Swedish citizens. The arrival of groups like the vulnerable EU citizens and undocumented refugees has created a situation where civil society provides emergency relief for groups not eligible for long-term relief from the public sector. A new division of responsibility between civil society and the public sector is therefore being formed, and this division can be explained in terms of rights; the aid organizations are guided by the principles of human rights, while the public sector functions primarily according to social citizenship rights. This article documents the work of the Swedish City Missions, a large aid organization that has become an important actor in poverty relief work in Sweden. A never before conducted survey of 137,000 interventions performed by the Swedish City Missions gives an entirely new insight into the significance of civil society organizations in combating new and old types of poverty in Sweden. Which groups receive which types of aid and what does that tell us about the roles of civil society and the public sector in a rights perspective? The findings show that civil society organizations like the City Missions play a far from marginal role in the Swedish welfare state.

Poverty trends during two recessions and two recoveries: lessons from Sweden 1991–2013

We study cross-sectional and long-term poverty in Sweden over a period spanning two recessions, and discuss changes in the policy context. We find large increases in absolute poverty and deprivation during the 1990’s recession but much smaller increases in 2008-2010. While increases in non-employment contributed to increasing poverty in the 1990’s, the temporary poverty increase 2008-2010 was entirely due to growing poverty among non-employed. Relative poverty has increased with little variation across business cycles. Outflow from poverty and long-term poverty respond quickly to macro-economic recovery, but around one percent of the working-aged are quite resistant to such improvements.

Trends in Child Poverty in Sweden: Parental and Child Reports.

We use several family-based indicators of household poverty as well as child-reported economic resources and problems to unravel child poverty trends in Sweden. Our results show that absolute (bread-line) household income poverty, as well as economic deprivation, increased with the recession 1991–96, then reduced and has remained largely unchanged since 2006. Relative income poverty has however increased since the mid-1990s. When we measure child poverty by young people’s own reports, we find few trends between 2000 and 2011. The material conditions appear to have improved and relative poverty has changed very little if at all, contrasting the development of household relative poverty. This contradictory pattern may be a consequence of poor parents distributing relatively more of the household income to their children in times of economic duress, but future studies should scrutinze potentially delayed negative consequences as poor children are lagging behind their non-poor peers. Our methodological conclusion is that although parental and child reports are partly substitutable, they are also complementary, and the simultaneous reporting of different measures is crucial to get a full understanding of trends in child poverty.

Child Poverty in a Regional Perspective: A Study of Sweden 1990 and 2010

When the issue of welfare is addressed in Sweden analysis is usually focused on the national level, in a smaller number of cases on the local level, but rarely on the regional level. Studies on poverty are no exception. The aim of this paper is to analyse child poverty in Sweden, from a regional perspective, in 1990 and 2010. A multivariate cross-section OLS regression model is used to estimate regional factors causing child poverty. Regional macro data is used. The findings indicate that old industrial regions experience greater child poverty. The statistical analysis shows that when the share of foreign-born individuals increases in the regional population, so does the regional share of children living on social assistance. Higher incomes lower the regional share of children living on social assistance.

Intergenerational Transmission of Neighbourhood Poverty in Sweden: An Innovative Analysis of Individual Neighbourhood Histories

The extent to which socioeconomic (dis)advantage is transmitted between generations is receiving increasing attention from academics and policymakers. However, few studies have investigated whether there is a spatial dimension to this intergenerational transmission of (dis)advantage. Drawing upon the concept of a neighbourhood biography, this study contends that there are links between the places individuals live in with their parents and their subsequent neighbourhood experiences as independent adults. Using individual level register data tracking the whole Swedish population from 1990 to 2008, and bespoke neighbourhoods, this study is the first to use innovative sequencing techniques to construct individual neighbourhood histories. Through visualisation methods and ordered logit models, we demonstrate that the socioeconomic composition of the neighbourhood children lived in before they left the parental home is strongly related to the status of the neighbourhood they live in 5, 12 and 18 years later. Children living with their parents in high poverty concentration neighbourhoods are very likely to end up in similar neighbourhoods much later in life. The parental neighbourhood is also important in predicting the cumulative exposure to poverty concentration neighbourhoods over a long period of early adulthood. Ethnic minorities were found to have the longest cumulative exposure to poverty concentration neighbourhoods. These findings imply that for some groups, disadvantage is both inherited and highly persistent.

If Seebohm Rowntree had studied Sweden – how poverty changed in the city of Göteborg from 1925 to 2003

This paper investigates the development of poverty in Sweden using micro data derived from tax files for the city of Göteborg for the years 1925, 1936, 1947 and 1958, as well as more recent (1983, 1994 and 2003) information. We define poverty as living in a household with a disposable income lower than a poverty line that represents a constant purchasing power all years, as well as poverty lines defined as 60% of contemporary median income. Clear reductions of poverty from 1925 to 1947, as well as from 1958 to 1983, are found. We argue that an important poverty-reducing mechanism during both periods was narrowing earnings disparities. Further, we claim that the poverty reduction from the end of the 1950s to the first half of the 1980s was the outcome of improved transfer systems as well as the establishment of pronounced characteristics of present-day Sweden: the dual earner system.

The dynamics of child poverty in Sweden

This paper studies the dynamics of child poverty in Sweden. We find that one out of every five children is disposable income poor at least once during childhood, while only 2% are chronically poor. Children in Sweden are protected economically from many serious events such as parental sickness and death. Family dissolution and parental unemployment do push some children into poverty. However, these poverty spells are mostly temporary. Single mothers, for example, are overrepresented among the poor but not among the chronically poor. Children with immigrant parents are strongly overrepresented among the chronically poor.

Neighbourhood Child Poverty in Sweden

This chapter takes a fresh look at child poverty at the neighbourhood level in the three metropolitan regions of Sweden using unique data for 1990, 1996 and 2002. We find that the number of neighbourhoods with high child poverty rates is much larger in 2002 than in 1990, but also that most poor children in the three regions live outside poor neighbourhoods. A disproportionally large fraction of children with backgrounds from low- and middle-income countries live in poor neighbourhoods. Regression analysis shows that high neighbourhood poverty rates are mainly due to parents’ low employment and to low parental education.

The Income of the Swedish Baby Boomers

This paper study the income of Swedish households belonging to the baby boom generation, i.e those born in the 1940-50. An international comparison as well as an historical presentation of income patterns is given. However, the main purpose is to generate the future income of the baby boom generation as they get older. A major result is that the income standard of the young-old will become much higher than that of the very old. If our simulations bear the stamp of realism they suggest that we will see new and large poverty in Sweden among the very old in the future. The pension system contributes to this result. The front loaded design gives with its reduced wage indexation a higher income immediately after retirement but a much lower income at older age. From this perspective it is unfortunate that so much attention is given to the discussion of replacement rates. The replacement rate, although interesting in itself, completely miss the long run effect and just provides a comparison of incomes shortly after with incomes before retirement. If we instead focus on the relative income of older pensioners the results become quite different. Our results challenge the conception of a sustainable pension system. If the relative income of older pensioner’s drops and at the same time expenditures for health and care increase, one might wonder how the old in our society will make both ends meet. If pensions become too small to meet minimum standards the requirement of financial sustainability of the pension system results in an increasing financial burden on other parts of the general social protection system.

Poverty Persistence in Sweden

This Paper analyses the persistence of poverty in Sweden using a hazard rate model based on multiple spells. The model also accounts for unobserved heterogeneity and possibly endogenous initial conditions. We estimate the model on a large representative Swedish panel dataset, LINDA, for the years 1991-2001. The data contains precise information on household disposable income obtained from individual tax files. Poverty is defined using information on annual minimum needs standards determined by the Swedish National Board of Health and Welfare. The data indicates that poverty rates are highest for immigrants, especially refugee immigrants, and for households with children. Further, poverty rates declined, both for natives and for immigrants, between 1991 and 2001, partly as a result of improved labour market conditions. The empirical results suggest that there is significant negative duration dependence in both exit and entry hazard rates. Moreover, the transition rates are significantly affected by immigrant status, educational attainment, labour market conditions, age, and family status. Accounting for multiple spells shows that for two-parent families with two children who are represented by a male person, 44% of native households that fall into poverty at any given point in time remain poor in five or more out of the next ten years. For refugee and non-refugee households, the figures are 62% and 50%, respectively.

A Combined Macro- and Micro-level Analysis of the Relationship between Unemployment and Means-Tested Social Assistance in Sweden

In an era of mass unemployment, the economic consequences of unemployment for the unemployed are of central relevance for the analysis of inequality and social stratification. This paper analyses the individual-level economic consequences of unemployment and poverty in Sweden, concentrating on economic hardship and poverty measured in terms of recipiency of means-tested social assistance. By use of aggregate time-series analysis of the period between 1924 and 1993, and an analysis of individual-level longitudinal interview data from 1990 to 1992, it is possible to integrate macro- and micro-data in the analysis. The paper shows how such an integration can be used to cross-check results from these two levels and thereby to mitigate different methodological problems associated with analyses at only one level. Micro-level results are found to be congruent with the macro-level outcomes indicating that it is of crucial importance to separate the stock from the flow of welfare recipients in order to understand the processes behind unemployment, persistent hardship, and dependency on means-tested social assistance.

RELATIVE POVERTY IN TWO EGALITARIAN SOCIETIES: A COMPARISON BETWEEN TAGANROG, RUSSIA DURING THE SOVIET ERA AND SWEDEN

Relative poverty in urban Russia at the end of the Soviet era (using microdata for the town of Taganrog) is compared to relative poverty in Sweden. The results indicate that the extent of relative poverty was rather similar in the two societies, but also that differences in the structure of poverty existed. In urban Russia characteristics of the household head leading to a high risk of poverty were advanced age, a limited education and being female. Swedish poverty was concentrated to households with a young head.

Deprivation and Poverty: A Comparative Analysis of Sweden and Great Britain

This paper represents an attempt to compare the incidence of relative deprivation and poverty in Sweden and Great Britain. The study goes beyond the limitations of traditional income-based comparisons and the method applied builds on Mack & Lansley's (1985) direct consensual definition of deprivation. The analyses show that deprivation is more prevalent and more unevenly distributed in Britain compared with Sweden. However, more detailed analyses reveal that the probability of being poor is distributed in a similar way in the two countries. Low income households, the unemployed, those dependent on means-tested benefits and lone parents are worse off in both countries. Thus, it is very much the same processes that generate deprivation and poverty. However, Swedes are less deprived because incomes have been distributed more equally, unemployment has been lower, means-tested benefits have been more generous, and the situation for lone parents has been better in Sweden than in Britain during the 1980s.

Making ends meet: perceptions of poverty in Sweden

During the era after the Second World War, Sweden has built a welfare system based on labor market participation and income maintenance. Low unemployment and decent wages are supposed to guarantee people a labor market income or income maintenance, which in turn should provide a proper standard for everyone. However, a rapid increase in unemployment and economic problems have made the future of the Swedish welfare state more uncertain than ever. These circumstances have, among other things, led to the suggestion that Sweden should abandon the income maintenance policy and create a social policy system with the more limited ambition of guaranteeing everyone a minimum income. In that case, one central question must be answered: what constitutes a decent minimum income in today's Sweden? Where should we draw the poverty line under which people will not be forced to live? These questions are central in the current debate. The consensual poverty line method is used in this article to derive a poverty line relevant for today's Sweden. The results shows that more than every fifth household has an income below the consensual poverty line. That is, they have an income that most Swedes would argue is too low to make ends meet. The level of the consensual poverty line was compared with the National Board of Health and Welfare's guidelines for social assistance. The consensual poverty line was shown to be more generous to small households and the norm for social assistance was more generous to larger households. Finally, the expenditure for guaranteeing all Swedish household a minimum income equal to the consensual poverty line was estimated: more than SEK 25 billion per year. The results in the article casts serious doubt on the ability of the Swedish welfare state to secure a decent income to all citizens.

The Truly Poor: Direct and Indirect Consensual Measurement of Poverty in Sweden

The analysis presented in this article is based on two different concepts of poverty; the direct consensual definition developed by Mack and Lansley (1985) and the indirect consensual definition established by Godehart et al (1977). The distinction between indirect and direct definitions of poverty is well establtshed within the field of poverty research. However, it is argued here that the usefulness of this dividing line can be questioned both at a theor etical and an empirical level.