In connection with high inflation, the elimination of the tax burden, various tax changes and the introduction of new taxes, the issue of poverty and those who suffer from it has become the order of the day in Estonia. When comparing different countries, two terms are used to characterize the extent of poverty: absolute poverty and relative poverty. Absolute poverty indicates the percentage of people who are unable to support themselves. This indicator reflects the living wage calculated in a particular country. According to Epp Remmelgu, the leading statistical analyst in Estonia, the number of people living in absolute poverty increased significantly in 2022, reaching 48,000 people. The monthly net income of these people, taking into account the composition of the family unit, is less than 300 euros.
However, the limit of relative poverty is 60% of the median income, that is, the income from which half the population earns less and the other half more. The percentage of people living in relative poverty also reflects the unequal distribution of income in society. Last year their income was less than 756 euros. The number of these people decreased slightly compared to previous years, but still reached more than 300,000 people.
2023-12-15 17:00:00
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