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Inequalities were reduced in 2019 before the health crisis, according to INSEE

2021-10-05T16:57:19.051Z


The fall in unemployment and the rise in wages and the activity bonus have increased the standard of living of the 50% of the least well-off households.


Inequalities in living standards had decreased in France in 2019, just before the outbreak of the Covid-19 health crisis, after a sharp increase in 2018, according to an INSEE note published on Tuesday.

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The standard of living thus increased that year for all households, but "

the increase is more sustained for the 50% of the least well-off households

", according to data compiled by the National Institute of Statistics. This increase stems from the fall in unemployment, the dynamism of wages and the "

strong revaluation

" of the activity premium, even if the effect of this revaluation was more limited for the 10% of households with the lowest incomes. , according to INSEE.

The poverty rate also fell in 2019, to 14.6% (-0.2 point, in line with a first estimate published at the end of 2020). About 9.2 million people lived below the poverty line, defined as 60% of the median standard of living, or 1,102 euros per month. The fall in the poverty rate was more noticeable for single-parent families, while it increased for retirees.

Notably, the redistributive policy has not benefited the poorest 10% of households, since the increase in their standard of living considered before the redistribution measures (+ 4.6%) is greater than that recorded after (+ 2.8%, at 11,660 euros).

This comes from the fact that "

certain social benefits (housing allowances, family benefits) have been increased less than inflation

", explains INSEE.

Read alsoRedistribution effectively fights poverty

At the other end of the income scale, the wealthiest 10% saw their standard of living increase by 1% in 2019, to 39,930 euros, after a year 2018 that was particularly beneficial for them with the tax reform of the capital.

Consequence: inequalities in the standard of living fell sharply in 2019. The Gini index, an indicator conventionally used, fell from 0.280 point in 2018 to 0.298 point in 2019. The closer the index is to 1, the greater the inequalities. strong.

This decrease comes after the sharp rise in inequalities after the economic and financial crisis of 2008, followed by a slight decline in 2012 and 2013, then stabilization until 2017.

Source: lefigaro

All life articles on 2021-10-05

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