Distributional effects of public education transfers in seven European countries

Empirical studies of inequality and poverty are usually based on disposable cash incomes, disregarding incomes in-kind (non-cash incomes). Since individuals also derive utility from the consumption of goods and services provided in-kind monetary income is not always a good indicator of an individual's utility or 'command over resources'. Thus, distributional analysis based on cash incomes may be seriously biased. Inclusion of non-cash incomes (arising from private sources or from public provision of services such as health, housing and education) may allow for better targeting and allocation o... Mehr ...