In this presentation, we extend the scope of poverty analysis by integrating income and assets measurements to assess and measure economic insecurity in several high-income countries. Borrowing from two common indicators to measure 1) income poverty – households whose equivalised gross household income falls below the relative income poverty line at 50% of the median, and 2) financial asset poverty – those who do have insufficient financial assets to cover consumption for at least 3 months, we explore additional criteria to distinguish further those who are financial asset poor, but not-income poor. Employing the Luxembourg Wealth Study (LWS) Database, we present common methodological approaches that could measure economic insecurity in cross-national comparison. Finally, we propose a multidimensional economic well-being deprivation index that combines three dimensions of economic well-being, income & expenses, wealth, and labour market attachment, for which we show an empirical application for 10 high-income countries.
Piotr R. Paradowski works at LIS Cross-National Data Center in Luxembourg as a Data Expert and Research Associate, primarily focusing on the Luxembourg Wealth Study (LWS) database. He is also affiliated with the Department of Statistics and Econometrics at the Gdansk University of Technology. In addition, he conducts interdisciplinary research focusing on income and wealth distributions as they relate to economic inequality, poverty, and welfare state politics.
Jörg Neugschwender has a PhD in Sociology from the Graduate School of Economic and Social Sciences (GESS) at the University of Mannheim, Germany. He is Data Team Manager at LIS Cross-National Data Center in Luxembourg, supervising the data team in harmonizing datasets for the LIS databases, developing and maintaining data production and quality assessment applications, and overseeing the consistency of produced datasets.
Heba Omar holds a master’s degree in Biostatistics and Demography on the topic of The Development of the Multidimensional Poverty Indices (Cairo University). She is the Assistant Director of Operations at LIS Cross-National Data Center in Luxembourg.
