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Objective 10.1 in Italy: are there the conditions to achieve it?

Trend in household income homogeneity from 2013 to 2016, analysis of Gini index data

This post was born from the desire to illustrate the Italian net family income panorama with respect to the post-2015 Agenda and, consequently, to Objective 10.1 of Agenda 2030. The Agenda post 2015 is the report of the results of the "Millennium Development Goals" of the United Nations, a first program of development goals. The programme, which came out in 2000, consisted of eight points; however, it did not give due importance to the environmental issue. In fact, it was not considered to be a step forward between development and respect for the environment, so the results set were not achieved successfully. This resulted in the study and re-programming of the Objectives for Agenda 2030.

Objective 10 of Agenda 2030 is dedicated to reducing inequalities between countries; the concept of inequality touches on various social, economic and environmental aspects and is not limited to a country's poverty rate. The aim of the tenth point is to consolidate universal policies that care for marginalized populations, creating synergy and boosting developing countries' exports. To achieve this aim, it is necessary to adopt protective fiscal policies that ensure greater equality of the population. Within each objective of the Agenda there are more specific sub-items of the macro-area; in the case of the following analysis I have examined point 10.1: increasing the income of 40% of the population.

For the analysis of this figure I started from the project "Statistics on Income and Living conditions" (EU-Silc), decided by the European Parliament and coordinated by Eurostat. In 2005, Eurostat, together with the European National Statistical Institutes, made available to scholars a set of data on living conditions of households to derive quality of life parameters. As can be inferred, the collection of these data is not closely linked to the first United Nations Development Programme, but the results of the surveys can be used to assess the real impact that the various points of the programme have had on the population.

The last update of ISTAT data on Italian household income is from 2016, so I chose to analyze the most updated data by comparing them with those of 2013 for two reasons. Firstly, taking into account the creation of the post-2015 Agenda; since the latter was written following the failure of the previous programme, I want to note its direct impact by observing a slight chronological distance from its exit. Secondly, so that, with a view to having another update of the data in the near future, a comparison can be made with a time lag of three years from 2013.

The measure provided by the tables is the Gini Index: this coefficient is named after its creator, the Italian statistician Corrado Gini. It is a measure of inequality in distribution and is often used to measure the concentration of income distribution or wealth. The index is a number that goes from zero to one, where zero coincides with total homogeneity of income and one with total inequality.


By Francesca Castiglione

Analyzing the Gini coefficient applied on a worldwide scale, it can be seen that Italy is in a position quite close to the homogeneity of income (https://www.termometropolitico.it/1242374_mappa-concentrazione-ricchezza.html).

Despite Italy's favourable position compared to other countries, one can think of our direct reality and perception of the state economy; how tangible is this really? Are we in a "favorable" position because we actually find homogeneity in our country? Or because the most serious conditions in other countries place us at the top? And, finally, was the report on the post-2015 Agenda really of impact?

The following graphs show the homogeneity of Italian income: the first graph shows the index for 2013, the second for 2016.

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As can be seen, the value remains fairly homogeneous around 0.3 which is a good result for the global index shown above. However, if we focus on the time data examined, we can see a slight deterioration from 2013. In fact, income unevenness has increased slightly in 2016, so there is no positive and impactful result compared to the Post Agenda 2015.

In order to further analyse the national income unevenness, I have broken down the data by regional area:

The first graph refers to 2013.

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The second to 2016

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What stands out most is the clear regional difference between north and centre/south. Thus, not only has there been a slight increase in inhomogeneity over three years, but the inhomogeneity distributed between regions is clearly disproportionate and has remained consistent over the years.


Although my analysis is only relative to Italy and limited to a short period of time, we can deduce that the Post Agenda 2015, and therefore the implementation of Agenda 2030, have not had a clearly positive impact on the income of the Italian population. Therefore, further work will have to be done on the fiscal policies of our country so as to at least achieve homogeneity of national income and then reason to increase the income of 40% of the population. In conclusion, it can be said that Italy is indeed a country with a good homogeneity of income on a global scale, but that this homogeneity in turn is badly distributed within the territory.

Sitography:

https://www.un.org/sustainabledevelopment/inequality/

http://dati.istat.it/index.aspx?queryid=4836#

https://it.wikipedia.org/wiki/Coefficiente_di_Gini

http://www.isprambiente.gov.it/it/archivio/notizie-e-novita-normative/notizie-ispra/2013/06/onu-rapporto-finale-sull2019agenda-di-sviluppo-post-2015

https://it.wikipedia.org/wiki/Obiettivi_di_sviluppo_del_Millennio


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Agenda 2030, Income Italy Goals

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