CeMPA WP 3/24 - Outside the box? - Women’s individual

Comparing the individual poverty risk of working-age women to the benchmark of typical male workers, we highlight heterogeneity driven by women’s economic situation and job characteristics and analyse the role of the tax-benefit system in reducing the gap. [...] The former allows for a more fine grained allocation of family-level resources to different members of the household - an important prerequisite for measuring individual poverty risks - while the latter provides an assessment of the sensitivity of the individual poverty risk to the chosen assumptions. [...] The RWPG for benefits and the RWPG for taxes and SIC do not add up to the overall welfare impact due to the non-additive nature of the poverty risk indicator. [...] This sample overview provides a good starting point for the analysis of individual poverty risks and the role of the welfare state as it highlights the large share of women who do not fit the stereotype promoted by the adult worker model and who might not be able to sustain a living standard above the poverty threshold if their living situations are disregarded in the design of social policy in ge. [...] 4.4 The role of the tax-benefit system The final empirical section analyses the impact of the tax-benefit system on the RWPG of women with different economic status and job characteristics.