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62] Zsófia Kollányi
look at the figures for the UK, these figures could at least partly explain the
social tensions that led to the Brexit decision. Nevertheless, one must also
point out that other countries experienced similar or even worse outcomes
without the same conseguences.
Relative poverty rate considers a person poor if his/her income is lower
than a specific threshold, defined in accordance with other peoples income.
The most common relative poverty measure is the share of those in a country
whose income is below the 60 per cent (or 50 per cent, or other) ofthe median
income in the given country.
Material deprivation rate is an absolute measure of poverty. We talk about
deprivation if a person cannot afford the consumption of certain goods and
services, or not in the expected guality. Defining items of material deprivation
in the EU are, for example, hardships to pay unexpected expenses, affording a
one-week annual holiday away from home, a meal involving meat, chicken, or
fish every second day, or the adeguate heating of a dwelling. Also, the lack of
ownership of certain durable goods like a washing machine, colour television,
telephone, or car adds here.
Median income is the income level dividing the population into two: one half
of the population has less, and one half of the population has more. Or, if we put
the whole population in a row according to their income, the person standing
exactly in the middle of the row will have the median income.
Gini coefficient is an indicator of the inequality of the distribution of income
or wealth in a society. Gini is a single number between 0 and 1. The higher its
value is, the more unequal the distribution is.
European Social Model (ESM): “The Commission's 1994 White Paper on
social policy described a ‘European social model in terms of values that include
democracy and individual rights, free collective bargaining, the market economy,
equal opportunities for all, and social protection and solidarity. The model
is based on the conviction that economic progress and social progress are
inseparable: Competitiveness and solidarity have both been taken into account
in building a successful Europe for the future” (eurofund.europa.eu).
European Pillar of Social Rights (EPSR) is an initiative launched by the
European Commission, with the very ambitious aim to bring back the social
dimension ofthe EU and rebalance economic and social considerations. Its goal
is to serve as a guide towards efficient employment and social outcomes facing
challenges affecting the fulfillment of peoples essential needs. The Pillar does
not give the Union more power or competences. However, all EU countries
agreed to implement the Pillars twenty principles (see more at https://ec.europa.
eu; https://www.epr.eu).
Universal Basic Income (UBI) is a regular payment paid by public bodies
and received by everyone in a society in order to provide a minimal income to
each society member.
Box 1: Inequalities and Social Europe - main concepts