The Theory of Equal Opportunities and Its Application to the Problem of Poverty

Authors

DOI:

https://doi.org/10.14515/monitoring.2023.1.2311

Keywords:

inequality of opportunities, poverty risk, opportunity profiling, socially vulnerable groups, Oaxaca-Blinder decomposition, Shapley decomposition, regression analysis

Abstract

The paper deals with the key ideas of the equal opportunities theory and their application to the study of poverty. Existing studies on poverty risk fail to take the controllability of poverty determinants into account. Studies of poverty have underinvestigated education, professional status, place of birth, and material well-being of the parent family, which are usually tested in the studies of inequality of opportunities. Analysis of not-belonging to the poor from the perspective of individual achievement and analysis of poverty from the perspective of personal controllability of its determinants may deepen understanding of poverty roots.

Poverty research can benefit from methodology designed to study inequality of opportunities. Shapley decomposition, Oaxaca–Blinder decomposition, and opportunity profiling are among them. The Shapley decomposition measures how individual factors-circumstances contribute to inequality of opportunities. The Oaxaca–Blinder method decomposes the general differential of inequality of opportunities into associative and compositional effects. The authors demonstrate the potential of these three methods using RLMS-HSE data collected in 2011.

In practical terms, applying equal opportunities theory to poverty might change priorities in fighting it. In addition to the traditional subsidization of low-income groups, the authors introduce the need of creating mechanisms that guarantee equal opportunities for everyone in terms their well-being at the level which exceeds poverty line.

Author Biographies

Zulfiya F. Ibragimova, Ufa University of Science and Technology

  • Ufa University of Science and Technology, Ufa, Russia
    • Cand. Sci. (Econ.), Associate Professor at the Department of Innovation Economics, Institute of Economics, Finance and Business

Marina V. Frants, Ufa University of Science and Technology

  • Ufa University of Science and Technology, Ufa, Russia
    • Cand. Sci. (Tech.), Associate Professor at the Department of Business Economics of the Institute of Economics and Management 

References

Аникин В. А., Слободенюк Е. Д. Бедность работающих: как изменились детерминанты в России за 20 лет? // Социологическая наука и социальная практика. 2021. Т. 9. № 4. С. 23—41. https://www.doi.org/10.19181/snsp.2021.9.4.8603.

Anikin V. A., Slobodenyuk E. D. (2021) In-Work Poverty in Russia: How Determinants Have Changed over the 20 Years? Sociologicheskaja nauka I social’naja praktika. Vol. 9. No. 4. P. 23—41. https://www.doi.org/10.19181/snsp.2021.9.4.8603. (In Russ.)

Бухарбаева Л.Я., Егорова Ю.В., Ибрагимова З.Ф., Комлева Р.Н., Чурсина К.В., Франц М.В. Оценка неравенства возможностей в республике Башкортостан: программа исследования. Уфа: Аэтерна, 2019.

Bukharbayeva L.Ya., Egorova Yu.V., Ibragimova Z.F., Komleva R.N., Chursina K.V., Frants M.V. (2019) Assessment of inequality of opportunities in the Republic of Bashkortostan: Research Program. Ufa: Aeterna. (In Russ.)

Вакуленко Е., Леухин Р. Дискриминируются ли иностранные работники на российском рынке труда? // Экономическая политика. 2016. Т. 11. № 1. С. 121—142.

Vakulenko E., Leukhin R. (2016) Wage Dicrimination Against Foreign Workers in Russia. Economic Policy. Vol. 11. No. 1. P. 121—142. (In Russ.)

Ибрагимова З. Ф., Франц М. В. Неравенство возможностей: трактовка, методы и проблемы оценки // Вестник Санкт-Петербургского университета. Экономика. 2020. Т. 36. Вып. 4. С. 624—652. https://doi.org/10.21638/spbu05.2020.404.

Ibragimova Z., Frants M. (2020) Inequality of Opportunities: Interpretation, Мethods and Problems of Еstimation. St Petersburg University Journal of Economic Studies. Vol. 36. No. 4. P. 624—652. https://doi.org/10.21638/spbu05.2020.404. (In Russ.)

Ибрагимова З.Ф., Франц М.В. Измерение неравенства возможностей в отношении доходов: структурированный обзор и метаанализ // Прикладная эконометрика. 2021a. Т. 61. С. 89—109. https://doi.org/10.22394/1993-7601-2021-61-89-109.

Ibragimova Z., Frants M. (2021a) Measuring Income Оpportunity Inequality: A Structural Review and Meta-analysis. Applied Econometrics. Vol. 61. P. 89—109. https://doi.org/10.22394/1993-7601-2021-61-89-109. (In Russ.)

Ибрагимова З. Ф., Франц М. В. Неравенство возможностей в образовании в советский и постсоветский периоды: эмпирический анализ // Вопросы образования. 2021b. № 2. С. 43—62. https://doi.org/10.17323/1814-9545-2021-2-43-62.

Ibragimova Z., Frants M. (2021b) Inequality of Educational Opportunity in Soviet and Post-Soviet Russia: An Empirical Analysis. Voprosy obrazovaniya / Educational Studies Moscow. No. 2. P. 43—62. https://doi.org/10.17323/1814-9545-2021-2-43-62. (In Russ.)

Каравай А. В. Факторы доходной стратификации российского общества: методология анализа и роль аскриптивных характеристик // Социологическая наука и социальная практика. 2018. Т. 6. № 1. С. 23—36. https://doi.org/10.19181/snsp.2018.6.1.5735.

Karavay A. V. (2018a) Factors of Income Stratification of Russian Society: Methodology of the Analysis and Role Ascriptive Characteristics. Sociologicheskaja nauka i social'naja praktika. Vol. 6. No. 1. P. 23—36. https://doi.org/10.19181/snsp.2018.6.1.5735. (In Russ.)

Каравай А. В. Факторы доходной стратификации российского общества: роль структурных барьеров на пути восходящей доходной мобильности. Часть 2 // Социологическая наука и социальная практика. 2018. Т. 6. № 2. С. 34—51. https://doi.org/10.19181/snsp.2018.6.1.5735.

Karavay A. V. (2018b) Factors of Income Stratification of Russian Society: Methodology of the Analysis and Role Ascriptive Characteristics. Sociologicheskaja nauka i social'naja praktika. Vol. 6. No. 1. P. 23—36. https://doi.org/10.19181/snsp.2018.6.2.5855. (In Russ.)

Лукьянова А. Л. Цифровизация и гендерный разрыв в оплате труда // Экономическая политика. 2021. Т. 16. № 2. С. 88—117. https://doi.org/10.18288/1994-5124-2021-2-88-117.

Lukyanova A. L. (2021) Digitalization and the Gender Wage Gap in Russia. Economic Policy. Vol. 16. No. 2. P. 88—117. https://doi.org/10.18288/1994-5124-2021-2-88-117. (In Russ.)

Овчарова Л. Н., Бурдяк А. Я., Пишняк А. И., Попова Д. О., Попова Р. И., Рудберг А. М. Динамика монетарных и немонетарных характеристик уровня жизни российских домохозяйств за годы постсоветского развития: аналитический доклад. М.: Фонд «Либеральная миссия», 2014.

Ovcharova L. N., Burdyak A.Ya., Pishnyak A. I., Popova D. O., Popova R. I., Rudberg A. M. (2014) Dynamics of Russian Households Monetary and Non-monetary Features: Analytical Report. Moscow: Liberal Mission Fund. (In Russ.)

Пишняк А.И., Халина Н.В., Назарбаева Е.А., Горяйнова А.Р. Уровень и профиль хронической бедности в России // Журнал Новой экономической ассоциации. 2021. № 2. С. 56—73. https://doi.org/10.31737/2221-2264-2021-50-2-3.

Pishnyak A.I., Khalina N.V., Nazarbaeva E.A., Goriainova A.R. (2021) The Level and the Profile of Persistent Poverty in Russia. The Journal of the New Economic Association. Vol. 50. No. 2. P. 56—73. https://doi.org/10.31737/2221-2264-2021-50-2-3. (In Russ.)

Слободенюк Е. Д. Глубокая бедность в России: специфика объективного и субъективного положения и запросы к социальной политике // Социологическая наука и социальная практика. 2019. № 4. С. 26—38. https://doi.org/10.19181/snsp.2019.7.4.6797.

Slobodenyuk E. D. (2019) Deep Poverty in Russia: The Specifics of the Objective and Subjective Poor and Their Requests for Social Policy. Sociologicheskaja nauka i social’naja praktika. No. 4. P. 26—38. https://doi.org/10.19181/snsp.2019.7.4.6797. (In Russ.)

Слободенюк Е. Д. Факторы абсолютной и субъективной бедности в современной России // Вестник общественного мнения. Данные. Анализ. Дискуссии. 2016. № 3-4. С. 82—92. https://doi.org/10.24411/2070-5107-2016-00017.

Slobodenyuk E. D. (2016) Factors of absolute and subjective poverty in modern Russia. Bulletin of Public Opinion. Data. Analysis. Discussions. No. 3-4. P. 82—92. https://doi.org/10.24411/2070-5107-2016-00017. (In Russ.)

Тихонова Н. Е. Феномен бедности в современной России // Социологические исследования. 2014. № 1. С. 7—19.

Tikhonova N. E. (2014) The Phenomenon of Poverty in Modern Russia. Sociological Studies. No. 1. P. 7—19. (In Russ.)

Arneson R. (1989) Equality and Equal Opportunity for Welfare. Philosophical Studies. Vol. 56. No. 1. P. 77—93.

Arneson R. (1990) Liberalism, Distributive Subjectivism, and Equal Opportunity for Welfare. Philosophy and Public Affairs, Vol. 19. No. 2. P. 158—194.

Barone C., Ruggera L. (2018) Educational Equalization Stalled? Trends in Inequality of Educational Opportunity between 1930 and 1980 across 26 European Nations. European Societies. Vol. 20. No. 1. P. 1—25.

Bossert W. (1995) Redistribution Mechanisms Based on Individual Characteristics. Mathematical Social Sciences. Vol. 29. No. 1. P. 1—17.

Bourguignon F., Ferreira F., Menéndez M. (2007) Inequality of Opportunity in Brazil. Review of Income and Wealth. Vol. 53. No. 4. P. 585—618.

Brunori P., Trannoy A., Guidi C.F. (2020) Ranking Populations in Terms of Inequality of Health Opportunity: A Flexible Latent Type Approach. Health Economics. Vol. 30. No. 2. P.358—383. https://doi.org/10.1002/hec.4185.

Carrieri V., Jones A. M. (2018) Inequality of Opportunity in Health: A Decomposition‐Based Approach. Health Economics. Vol. 27. No. 12. P. 1981—1995.

Chávez-Juárez F. W., Soloaga I. (2014) IOP: Estimating Ex-Ante Inequality of Opportunity. Stata Journal. Vol. 14. No. 4. P. 830—846.

Checchi D., Peragine V. (2010) Inequality of opportunity in Italy. Journal of Economic Inequality. Vol. 8. No. 4. P. 429—450.

Cohen G. (1989) On the Currency of Egalitarian Justice. Ethics. Vol. 99. No. 4. P. 906—944.

Dworkin R. (1981a) What is Equality? Part 1: Equality of Welfare. Philosophy and Public Affairs. Vol. 10. No. 3. P. 185—246.

Dworkin R. (1981b) What is Equality? Part 2: Equality of Resources. Philosophy and Public Affairs. Vol. 10. No. 4. P. 283—345.

Ferreira F., Gignoux J. (2011) The Measurement of Inequality of Opportunity: Theory and an Application to Latin America. Review of Income and Wealth. Vol. 57. No. 4. P. 622—657.

Fleurbaey M., Peragine V. (2012) Ex AnteVersusEx PostEquality of Opportunity. Economica. Vol. 80. No. 317. P. 118—130.

Organisation for Economic Co-operation and Development (2017) Terms of Reference OECD Project on the Distribution of Household Incomes. 2017/18 Collection.

Paes de Barros R., Ferreira F.H.G., Molinas Vega J.R., Saavedra Chanduvi J., De Carvalho M., Franco S., Freije-Rodriguez S., Gignoux J. (2009) Measuring Inequality of Opportunities in Latin America and the Caribbean. Basingstoke, Hants.; Palgrave Macmillan; New York, NY: World Bank.

Perez-Mayo J. (2019) Inequality of Opportunity, a Matter of Space? Regional Science Policy and Practice. Vol. 11. No. 1. P. 71—87. https://doi.org/10.1111/rsp3.12181.

Ramos X., Van de Gaer D. (2016) Approaches to Inequality of Opportunity: Principles, Measures and Evidence. Journal of Economic Surveys. Vol. 30. No. 5. P. 855—883.

Rawls J. (1971) A Theory of Justice. Cambridge, MA: Harvard University Press.

Roemer J. (1998) Equality of Opportunity. Cambridge, MA: Harvard University Press.

Shorrocks A. F. (2012) Decomposition Procedures for Distributional Analysis: a Unified Framework Based on the Shapley Value. The Journal of Economic Inequality. Vol. 11. No. 1. Р. 99—126.

Sinning M., Hahn M., Bauer T. K. (2008) The Blinder—Oaxaca Decomposition for Nonlinear Regression Models. The Stata Journal. Vol. 8. No. 4. P. 480—492. https://doi:10.1177/1536867X0800800402.

Published

2023-03-07

How to Cite

Ibragimova, Z. F., & Frants, M. V. (2023). The Theory of Equal Opportunities and Its Application to the Problem of Poverty. Monitoring of Public Opinion: Economic and Social Changes, (1). https://doi.org/10.14515/monitoring.2023.1.2311

Issue

Section

THEORY AND METHODOLOGY