The evolution towards a knowledge economy brings strong income increases for highly-qualified knowledge workers. When many live on social benefits – as it is the case in our country-, this evolution leads to a growing relative income inequality. The multitude of benefits regimes cannot prevent that ‘real’ poverty remains painfully persistent. This is unacceptable since also the poor are talented.
The Itinera Institute offers interested readers a selection of recent and topical publications and presentations from external sources, with a relevant angle towards the Institute’s key issues for Belgium. The selection is updated regularly and readers have the opportunity to stay on track through RSS for each issue. The selection in no way reflects a policy preference on behalf of the institute and is done for information purposes only.
Suggestions for publications or presentations are welcome and can be sent to info@itinerainstitute.org
The Global Gender Gap
17 November 2008
| We hear a lot of talking on the wage disparities between men and women, about the low proportion of women in the higher political and economic realms, and about their growing access to education. But what is the actual situation today? This report from the World Economic Forum investigates gender inequalities in more than 115 countries, Belgium included. |
Brussels’ economic paradox
10 November 2008
| Economically, our capital seems to suffer from schizophrenia. On the one hand it accommodates the headquarters of Belgium’s most important businesses and the European institutions, but on the other hand Brussels is also known for its economic and social problems. This report gives an overview on Brussels’ key poverty indicators such as unemployment and housing, and notices that there are important differences between the municipalities of the Brussels region. Can this be related with the extra complicated fragmentation of competences in our capital city? |
The wage disparities progress
03 November 2008
| According to this report from the International Labour Organisation (ILO), the financial globalisation contributes to increasing the wage disparities. It argues that income disparities have increased, notably under the influence of "performance based payment systems”. Without surprise, Belgium shows wage gaps among the lowest in comparison with other advanced economies. Between 1990 and 2000, it is however the country which shows the strongest progress of the disparities, with Finland and Sweden. To be closely watched. |
In-work poverty is weak in Belgium
03 November 2008
| This paper regards the incidence of in-work poverty and how it is reduced by the payment of social transfers in 20 European countries. Belgium appears as the country with the lowest pre-transfer in-work poverty and is ranked third regarding post-transfer in-work poverty. The paper attributes this to a high level of bargaining centralisation and to generous social benefits. |
What are the effects of a flat tax?
17 October 2008
| This IZA paper studies the effect of flat tax (referring to a tax with a single rate) reforms in Western Europe on income distribution and work incentives. The simulation of the authors shows that a revenue neutral flat tax with existing basic allowances improves labor supply incentives, but results in higher inequality. It also shows that under some conditions flat taxes may increase both equity and efficiency, but Belgium does not qualify for such statement. |