What is Social Inequality in Central and Eastern Europe? Stephen

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What is Social Inequality in Central and Eastern Europe? Stephen Powered By Docstoc
					What is Social Inequality in Central and Eastern Europe?

                   Stephen Whitefield
           stephen.whitefield@politics.ox.ac.uk
                           and
                    Matthew Loveless
            matthew.loveless@politics.ox.ac.uk

    EUREQUAL: http://eurequal.politics.ox.ac.uk/

 Paper presented at CEELBAS Conference Session, ‘Emerging
 dimensions of social inequality in Russia and Eastern Europe’,
       St Antony’s College, Oxford, December 13, 2008

            Work in Progress – Please DO NOT CITE
                      What is ‘social inequality’?

   A vague concept compared with work on …
    • Income inequality (Milanovic, 1998; Atkinson, 1999)
    • Inequality of wealth (Cagetti and De Nardi, 2008)
    • Labour market segmentation, e.g. by gender, ethnicity (Schrover et al,
      2007)
    • Welfare status (Layte and Whelan, 2003)
    • Skills and training (Brown et al, 2008)
    • Health inequality (Marmot and Wilkinson, 1999)
    • Housing inequality (Morris and Winn, 1990)
   Social inequality as a package of inequalities
             The ‘CEELBAS’ working definition
  “Social inequality refers to the ways in which socially-defined
   categories of persons (according to characteristics such as
   gender, age, ‘class’ and ethnicity) are differentially positioned
   with regard to access to a variety of social ‘goods’, such as the
   labour market and other sources of income, the education and
   healthcare systems, and forms of political representation and
   participation. These and other forms of social inequality are
   shaped by a range of structural factors, such as geographical
   location or citizenship status, and are often underpinned by
   cultural discourses and identities defining, for example, whether
   the poor are ‘deserving’ or ‘undeserving’.”
http://www.ceelbas.ac.uk/research/socialinequality
     A Eurequal working definition of social inequality…

   … the structure of advantage and disadvantage in the
    life chances and life outcomes of individuals and
    families (health, happiness, income, wealth, social and
    cultural opportunities, etc) that are significantly shaped
    by citizens’ social and economic locations and identities
    (labour market situation, social class, education, gender,
    ethnicity, age, citizenship, etc), by other important
    distributional mechanisms (social networks -corruption,
    blat’; government institutions and policies), and by
    national characteristics (economic and political
    development).
The problem of packages in Central and Eastern Europe
   Some research points to the fragmenting impact of Communist power
    and command economies on the packaging of advantages and
    disadvantages
     • Housing (Szelenyi, 1987)
     • Class fragmentation (Kende and Strmiska, 1987)
     • Communist-era political economy (Bunce, 1985; Sabel and Stark,
        1982)
   The transitional character of markets and democracy may also limit the
    emergence of ‘packages’ that one might expect in established market
    democracies (Kitschelt, 1992)
   The differential character of market and democratic development in
    the region might lead us to expect differences in the form and extent
    of packaging
                          Issues arising
   Is there a social inequality package? How do packages vary
    across countries?
   Does our measure of social inequality packages correlate in
    appropriate ways with some other predicted outcomes of social
    advantage and disadvantage?
   What kinds of people do well or badly in terms of the package of
    social inequality? How do the determinants of social advantage
    vary across countries?
   What kinds of countries are more or less socially advantaged?
   How unequal are countries in terms of the distribution of
    advantages and disadvantages? And what kinds of countries are
    more unequal than others?
                     The Eurequal surveys

   Conducted in 13 countries in Spring, 2007
    • Belarus, Bulgaria, Czech Republic, Estonia, Hungary, Latvia,
      Lithuania, Moldova, Poland, Romania, Russia, Slovakia,
      Ukraine
   National probability samples of between 1000 and 2000
    respondents
           The packaging of social advantage and disadvantage

   To what extent do the following ‘arenas’ in which goods may be
    differentially distributed correlate with one another? As one
    package, none, or many?
    •   Income
    •   Possessions
    •   Savings
    •   Employment benefits
    •   Housing situation
    •   Health
    •   Health access
    •   Educational access
    •   Cultural access
Table 1.
Factor
Loadings

              Income3   Savings   Access:    Access:    Access:   Health   House Situ.   Benefits    Stuff   Eigenvalue      N
                                  Health    Education   Culture                                              (difference)



                                                                                                                3.04
Aggregate     0.3756    0.3821    0.8092     0.8294     0.8124    0.4500     0.3957      0.1351     0.6070                  8419
                                                                                                               (2.68)
                                                                                                                2.66
    Belarus   0.4883    0.2619    0.7934     0.8175     0.8246    0.2242     0.1508      0.2017     0.5154                  669
                                                                                                               (2.26)
                                                                                                                2.78
   Bulgaria   0.5600    0.3499    0.7786     0.7803     0.7600    0.3030     0.2958      0.0499     0.6092                  433
                                                                                                               (2.45)
                                                                                                                2.62
  Czech Rep   0.5557    0.3541    0.5961     0.7389     0.7174    0.1552     0.3926      0.3291     0.6947                  587
                                                                                                               (2.30)
                                                                                                                2.66
    Estonia   0.3634    0.3868    0.7774     0.8061     0.8071    0.0735     0.3903      0.1249     0.5514                  604
                                                                                                                   (2.19)
                                                                                                                2.47
   Hungary    0.4148    0.3213    0.7357     0.7875     0.7786    0.1658     0.4075      0.1664     0.4527                  479
                                                                                                               (1.95)
                                                                                                                3.19
     Latvia   0.5138    0.3849    0.8343     0.8040     0.8378    0.4001     0.4077      0.2796     0.5768                  660
                                                                                                               (2.74)
                                                                                                                3.47
  Lithuania   0.5250    0.3905    0.8826     0.9045     0.8686    0.2551     0.4395      0.2430     0.6119                  561
                                                                                                               (3.09)
                                                                                                                2.64
   Moldova    0.3954    0.3325    0.7467     0.7403     0.7197    0.4173     0.5157      0.0207     0.5566                  566
                                                                                                               (2.14)
                                                                                                                1.94
     Poland   0.6076    0.4782    0.5171       n/a      0.5587    0.1109     0.5963      0.1593     0.6044                  978
                                                                                                               (1.72)
                                                                                                                3.21
   Romania    0.5394    0.3048    0.8081     0.8608     0.8441    0.2618     0.3826      0.2475     0.6657                  969
                                                                                                               (2.77)
                                                                                                                2.71
     Russia   0.4498    0.2981    0.8381     0.8359     0.7875    0.2667     0.2686      0.0823     0.4924                  1190
                                                                                                               (2.41)

                                                                                                                2.19
   Slovakia   0.4070    0.3079    0.6351     0.7368     0.6918    -0.039     0.3084      0.2640     0.5856                  649
                                                                                                               (1.74)

                                                                                                                2.85
    Ukraine   0.3152    0.2762    0.8467     0.8616     0.8533    0.348      0.2773      0.0025     0.5379                  1052
                                                                                                               (2.67)
Figure 1. Percentage contribution of each factor loading
      to factor as a whole (pooled and by country)
    What does the package of advantage and disadvantage
    predict in terms of other aspects household economic
                        circumstances?
   External validation exercise for our factor
   If our factor picks up differences in the distribution of
    advantage and disadvantages, then it should clearly be
    associated with a range of other important household
    economic circumstances
     • Material deprivation
     • Perceptions of changes in living standards
     • Ability to buy medicine or pay utility bills
Table 2. Regression of assessments of social
inequality factor on to aspects of household
economic circumstances

        b (se)       Material      Compariso            Enough      Enough
                    deprivation    n of Living          money to   money to
                       OLS         Standards              buy      pay utility
                                      OLS               medicine     bills
                                                         Logit       Logit
Social inequality    0.63***         1.01***            1.52***     1.29***
factor                (0.01)          (0.01)             (0.04)      (0.04)
Constant             2.86***         3.33***            1.60***       2.07
                      (0.01)          (0.01)             (0.03)      (0.04)
R2                      .41             .60               .24         .18
N                      8351            8398              8395        8395

                     * p<0.05, ** p<0.01, *** p<0.001
What kinds of countries are advantaged or disadvantages?

   Differences across the region
     • Russia and Ukraine are most disadvantaged on average, while Czech
       Republic, Estonia, Hungary and Slovakia are most advantaged
   Differences in economic and political development
     • Growing countries have on average more advantages
     • Politically freer countries are also more advantaged
   Differences by levels of inequality
     • More unequal countries (by comparison of gini’s) are also disadvantaged
                                Conclusions

   There is a package – one package of social advantage and disadvantage
   The package is strongly predictive of important household economic
    outcomes and perceptions
   The ‘usual suspects’ do well and badly and differences across countries appear
    relatively weak in terms of the social determinants of advantage and
    disadvantage
   Countries that are more democratic, grow economically and are more
    egalitarian have populations that are on average more advantaged than
    countries that are not
   In other words … Central and Eastern Europe does not appear to present
    differently than states elsewhere …
   … although until we can do the same analysis elsewhere we can’t be sure.
   Still, the analysis of social inequality has a promising future.

				
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posted:8/31/2012
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