Table of Contents Table of Contents
Previous Page  311 / 138 Next Page
Show Menu
Previous Page 311 / 138 Next Page
Page Background

Decomposing Youth Poverty in 22 Countries


F. Social Welfare, Household Composition, and

the Market

In summary, the three welfare mix components


composition, social welfare, and the market

shape the

opportunity structure. Conventionally, personal economic

well-being has relied on family support and market income. In

well-developed welfare states where the life course is highly

defamiliarized and decommodified, the state is a bulwark against

poverty resulting from market labor disadvantage and inadequate

family support. Although previous studies have consistently found

negative associations between comprehensive welfare resources and

poverty in children or the elderly, this observation cannot account

for youth poverty. Empirical evidence reveals high levels of youth

poverty in societies with high social expenditures (e.g., Denmark,

Finland) and low levels of poverty in countries with limited welfare

benefits (e.g., South Korea, Taiwan). Applying decomposition

analysis to cross-national data will show the contributions of

household composition, social welfare, and the relative deprivation

in market income to youth poverty differences across countries.

III. Data and Methods

To estimate the contributions of household composition, the

market, and social welfare, this research relies on data from the

Luxembourg Income Study collected in 2010, except for the data

on Japan collected in 2008 (LIS, 2010). I selected 22 countries

with consistent income and household composition data to cover a

range of social welfare regime types. Japan is included in addition

to Taiwan and South Korea to show the poverty of youth in East

Asian countries, although the Japanese data collected during the

GFC may be less comparable to the data from other countries. The

22 countries provide data on household composition and gross and

net household income components, which are required for