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Country Differences in Material Deprivation in E urope
Author(s) -
BárcenaMartín E.,
Lacomba B.,
MoroEgido A. I.,
PérezMoreno S.
Publication year - 2014
Publication title -
review of income and wealth
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 1.024
H-Index - 57
eISSN - 1475-4991
pISSN - 0034-6586
DOI - 10.1111/roiw.12030
Subject(s) - economics , macro , perspective (graphical) , micro level , variance (accounting) , macro level , dimension (graph theory) , demographic economics , econometrics , microeconomics , macroeconomics , mathematics , computer science , economic impact analysis , geometry , accounting , pure mathematics , programming language
This paper assesses to what extent differences in the characteristics of individuals (micro‐level perspective) and country‐specific factors (macro‐level perspective) can explain country differences with respect to material deprivation levels. Thus, our work aims to simultaneously consider the macro dimension and the predominantly individually‐oriented study field of material deprivation using multilevel techniques. We make use of the E uropean U nion S tatistics on I ncome and L iving C onditions. Our results show that country‐specific factors seem to be much more relevant than individual effects in explaining country differences in material deprivation. We estimate that the introduction of country‐specific factors reduces the proportion of total variance due to between‐country differences in deprivation by 72.7 percent, while individual‐level variables reduce this proportion by only 9.4 percent. We also show, through interaction variables, that the effect of sociodemographic characteristics can be shaped by institutional and structural factors, especially by the level of GDP .