Poverty. A condition in which individuals lack the resources necessary for their subsistence.
A topic that, in the third millennium, is chilling even to speak about. A word that, after millennia of so-called “human civilization,” should have been abolished.
The past century has been marked by unprecedented technological innovation, yet we still, sadly, speak of poverty.
A serious reflection on poverty cannot be excluded from this blog, because as long as conditions like the ones summarized below continue to exist, we can never truly talk about a decent economic and social evolution (or “transition,” if you prefer).
An evolution I want to feel part of — for now, unfortunately, in a solitary way — aiming toward a model of society very different from the one we live in today.
But let’s start by understanding the issue of poverty.
ISTAT Data on Poverty in Italy – 2020
According to the final ISTAT estimates published in June 2020, poverty in Italy affects over two million families in a condition of absolute poverty (with an incidence of 7.7%), totaling over 5.6 million individuals (9.4%), a significant increase compared to 2019, when the incidence was 6.4% and 7.7%, respectively.
ISTAT Data on Poverty in Italy – 2019
According to ISTAT 2019 data on poverty, there were 1.7 million families in absolute poverty in Italy, with an incidence of 6.4% (7.0% in 2018), totaling almost 4.6 million individuals (7.7% of the total, compared to 8.4% in 2018).
ISTAT also notes that for the first time in four years, both the number and share of families in absolute poverty decreased — although remaining far above pre-2008 crisis levels.
ISTAT continues by stating that the number of families in relative poverty remained stable in 2019: just under 3 million families (11.4%), representing 8.8 million individuals (14.7%).
Absolute Poverty
Absolute poverty is the condition in which a person does not have the means to meet their basic needs.
The poverty threshold is set by institutions, based on standards of income, consumption, and basic needs. Based on these standards, for example, in 2019 a family with minors (three members, two aged 18–59 and one minor) is considered in absolute poverty if monthly income is below:
- €1,295.51 in the North (towns under 50,000 inhabitants)
- €1,209.58 in Central Italy
- €1,026.51 in the South
Regional 2019 poverty data (thousands of individuals):
- North-West: 1,000+
- North-East: 760+
- Center: 660+
- South: ~1,500
- Islands: ~619
ISTAT reports that in 2020 absolute poverty was highest in Southern Italy (9.4%, up from 8.6%), but the sharpest growth occurred in the North, rising to 7.6% from 5.8%. As a result, in 2020:
- 47% of poor families lived in the North vs 38.6% in the South
- 2.5 million people in absolute poverty in the North
- 2.26 million in the South
Absolute poverty among minors in 2020: 1,337,000 children (13.5%), up from 11.4% in 2019.
Incidence by region (minors, 2020):
- North: 14.4%
- Center: 9.5%
- South: 14.5%
Poverty is higher for:
- Larger families (up to 19.8% with 3+ children)
- Single-parent families (14%)
- Families with foreign nationals (28.6% vs 8.6% for Italians)
- Those living in metropolitan areas
Employment matters:
- 9.4% incidence if the reference person works
- 15.8% if the worker is a manual laborer
- 22.3% if not employed
- 29.1% if seeking employment
Relative Poverty
Relative poverty refers to the inability to access goods and services considered standard in relation to the average income of a given country.
A relatively poor person can afford basic needs but falls below the average income threshold and faces increasing difficulty accessing services and opportunities.
ISTAT reports that in 2019:
- 3 million families (11.4%) in relative poverty
- 8.8 million people (14.7%)
- Northern Italy incidence: 6.8%
- Southern Italy incidence: 21.1%
Impact of COVID-19 on Poverty in Italy (2020)
According to the Unimpresa Research Center, in 2020 families in poverty exceeded 2 million, up 20% from 2019.
Regional increases:
- North: +218,000 families
- Center: +52,000 families
- South: +64,000 families
Unimpresa President Giovanna Ferrara stated that despite recovery funds, companies lack the certainty to sustain employment, and layoffs could trigger a job crisis.
Preliminary ISTAT 2020 data also confirm that absolute poverty rose to the highest level since 2005, reaching:
- 7.7% of families (2+ million families)
- 9.4% of individuals (5.6 million people)
The Summary of a Failure
In my view, constantly speaking about poverty in the early 2000s is a contradiction.
The 19th-century Industrial Revolution promised prosperity for all.
The free-market model promised opportunities for all.
The outcome?
A few are rich.
The vast majority are poor.
According to the Oxfam 2019 Report, in 2018 the wealthiest 20% of Italians owned 72% of national wealth.
This is the result of our so-called “progress” — and frankly, it’s a result I don’t like.
This post is also available in: Italiano (Italian)
