CEU eTD Collection (2014); Tsutskiridze, Levan: Income Inequalities and Social Transfers in Georgia

CEU Electronic Theses and Dissertations, 2014
Author Tsutskiridze, Levan
Title Income Inequalities and Social Transfers in Georgia
Summary Collapse of the Soviet Union and the subsequent transition to market economy exacerbated income inequalities in Georgia. With the aim of addressing such inequalities often governments adopt redistributive policies. Among others, one of such policies is social transfers. Indeed, in 2006 Georgian government supplemented existing programs and introduced new social benefits targeted towards the most disadvantaged households (targeted social assistance). In order to assess the effect of the country’s redistributive policy this research analyses impact of the social transfers on income inequalities between 2007 and 2012. With this purpose, the research uses descriptive statistics and survey data collected by the national statistics office of Georgia between 2009 and 2012.
In brief, the research finds that during this period redistributive potential of social transfers is limited to the degree that it provides minimum incomes for the most disadvantaged socio-economic groups. In other words, it finds that on average different income groups received relatively equal amount of such transfers, which were meaningful only for those households in the sample that are at the bottom of the income distribution. Therefore, the study finds that the existing policy between 2009 and 2012 was not able to balance overall post-market income inequalities in the country.
Supervisor Kovacs Borbala
Department Political Science MA
Full texthttps://www.etd.ceu.edu/2014/tsutskiridze_levan.pdf

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