Public and Private Transfers and Their Importance in Poverty

This paper studies the effects of public and private transfers on poverty indicators. The high incidence in terms of the number of people getting these transfers and the amounts of these justifies this effort. A method to estimate the income of people without these transfers and subsequently identify the change in poverty indicators due to the absence of these resources is also presented. The study found that the average poverty rate between 2015 and 2016 would be five percentage points higher than the official data in the absence of transfers, whereas the highest contribution in this amount comes from private transfers. In addition, a significant percentage of private transfers come from neighboring regions, so a high proportion of the population in poverty situation benefits from the economic growth of these regions. (Audio: Department of Economic Publications)