2006年-世界发展银行全球_Croatia_-_Living_Standards_Assessment___Volume_1_Promoting_Social_Inclusion_and_Regional_Equity_78页_4mb

Croatia: Living Standards Assessment Summary

Core Content

This report provides an in-depth analysis of poverty levels and trends in Croatia, with a focus on social inclusion and regional equity. It evaluates the economic performance, labor market conditions, and social safety net effectiveness in the context of Croatia's approach to joining the European Union. The report also highlights the challenges of reducing internal regional disparities and achieving external income convergence with the EU.

Main Points

1. Poverty Levels and Trends

• Economic Performance: Croatia has experienced moderate economic growth over the past decade, with real GDP per capita increasing by over 40% between 1996 and 2005.
• Poverty Incidence: Poverty is relatively low, with about 11% of the population classified as poor, and an additional 10% at risk of poverty. Only 1% face severe deprivation.
• Income Inequality: Income and consumption inequality has remained stable and low between 2002 and 2004.
• International Comparison: Croatia's poverty rates are among the lowest in the World Bank's client countries in Europe and Central Asia. It has a low Gini coefficient compared to other countries in the region.
• Living Standards: Subjective welfare measures indicate an improvement in living standards over time.

2. Profile of Poverty and Inequality in Earnings

• Household Characteristics: Poverty is closely associated with household size, education level, age, and employment status. Small and large households face higher poverty risks.
• Education and Poverty: Over 75% of the poor live in households headed by individuals with only primary or less education.
• Age and Poverty: The elderly face a significantly higher poverty risk, with those not receiving pensions facing over five times the national average.
• Employment Status: Households headed by the unemployed are a vulnerable group, with the poor relying heavily on transfers for income.
• Gender and Youth Disadvantages: Women and youth have lower employment rates and wages, with youth employment rates under 25% and unemployment rates three times higher than those of the 25-50 age group.

3. Twin Challenges of External and Internal Income Convergence

• External Convergence: Croatia has been narrowing the income gap with the EU, but sustaining this trend is challenging due to demographic decline and low employment rates.
• Internal Disparities: Regional disparities in living standards are significant, though not higher than in the EU on average.
• Policy Priorities:
  • Sustaining high growth through faster job creation.
  • Promoting labor mobility and market flexibility.
  • Improving the adequacy and targeting of social safety nets.

Key Information

• Employment Rate: Croatia's employment rate is only 54.7%, one of the lowest in Europe.
• Long-term Unemployment: Higher than in all EU countries except Poland and Slovakia.
• Social Spending: Croatia's social spending is high at 31% of GDP, but poorly targeted.
• Means-Targeted Programs: Only 0.7% of GDP is allocated to means-targeted social assistance programs, which cover only 13% of the poorest fifth of the population.
• Social Assistance: It is the best-targeted program in Croatia, providing 15% of the average consumption per adult-equivalent for its beneficiaries.
• Regional Disparities:
  • Developed Regions: Counties like Zagreb, Istria, and Primorsko-Goranska have a strong services sector, active SMEs, and entrepreneurs, indicating potential for growth.
  • Lagging Regions: Eastern and Central Croatia face challenges due to a less favorable economic structure, dominated by agriculture.
• Recommendations:
  • Improve targeting and efficiency of social assistance programs.
  • Increase program coverage in poorer regions.
  • Enhance system administration through better integration and IT use.
  • Implement active labor market policies to reduce long-term unemployment and promote labor market participation.

Conclusion

The report emphasizes the need for a coordinated approach to address both internal and external convergence challenges. It highlights the importance of job creation, labor mobility, and effective social safety nets in improving living standards and reducing regional disparities. The findings are critical for guiding Croatia's national regional development strategy and its efforts to align with EU standards.