Greek farm households: income inequality, poverty and distributional impact of farm income

Abstract

This paper examines the incidence of income
inequality and poverty, and the impact of farm
income on inequality. A detailed typology of farm
households (FHs) is developed, based on Household
Budget Survey micro-data. Research findings
reveal enormous variations among households
with respect to income inequality and poverty.
While Marginal- and Pluriactive- FHs do not seem
to have an income problem, this is not the case
for Farm Households. Poverty is a widespread
phenomenon among Retired FHs. Farm income
and non-farm income generate a combined stabilization
effect, mitigating the overall inequality
within households. Policy implications of these
findings are discussed in the context of welfare
aspects of agricultural policy.