CONCEPTS AND DEFINITIONS
Eurostat's Concepts and Definitions Database

 

Term
At-risk-of poverty rate
Term extension
Social statistics
Definition
The at-risk-of poverty rate is measured as the share of persons with an equivalised disposable income below the at-risk-of-poverty threshold. The threshold is set at 60% of the national median equivalised disposable income.

Equivalised income is defined as the household's total income divided by its "equivalent size", to take account of the size and composition of the household, and is attributed to each household member (the total household income is divided by its equivalent size using the so-called “modified OECD” equivalence scale. This scale gives a weight of 1.0 to the first adult, 0.5 to any other household member aged 14 and over and 0.3 to each child.).
Remark
When measuring the overlap between work and poverty, there is a series of conceptual difficulties arising from the fact that the statistical units and reference periods normally used to describe work, on the one hand, and poverty, on the other, differ. Notably, while employment status and labour market attachment are normally measured at the level of individuals, the measure of relative monetary takes account of the total resources of the households to which individuals belong. The two measures can be reconciled together through either equivalisation of household income that allows taking an individual approach of in-work poverty, or by measuring labour market attachment at the level of households in a work intensity measure.
Source
Eurostat, Statistics in Focus, Population and Social Conditions, 5/2005, Population and Living Conditions, “In-Work Poverty - New commonly agreed indicators at the EU level
Hyperlink
http://ec.europa.eu/eurostat/ramon/coded_files/SIF_SOCIAL_COND_05-2005_EN.pdf
Statistical theme(s)
  • Population and Social Conditions
  • Other languages
    Term Term extension    
  • Quote für die Armutsgefährdung
  • Sozialstatistik View (Deutsch)
  • Taux de risque de pauvreté
  • Statistiques sociales View (Français)
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