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Living Standards Measurements Study - Serbia 2002 - 2007

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Graph 6.2. Targeting of benefits by type of<br />

settlement<br />

Urban<br />

settlements<br />

Other<br />

settlements<br />

Graph 6.3. Take up and impact of benefits for<br />

those living below the poverty line<br />

Attendance and<br />

assistance<br />

allowance<br />

Veteran and<br />

disabled veteran<br />

allowance<br />

MOP<br />

Humanitarian<br />

aid<br />

One off<br />

muncipal cash<br />

subsidy<br />

Child allowance<br />

Parents<br />

allowance<br />

Alimony<br />

0.7%<br />

0.5%<br />

0.5%<br />

0.5%<br />

0.5%<br />

<strong>2002</strong> <strong>2007</strong><br />

7.2%<br />

8.6%<br />

12.9%<br />

13.1%<br />

19.6%<br />

19.1%<br />

18.7%<br />

17.0%<br />

19.4%<br />

17.3%<br />

25.5%<br />

24.6%<br />

30.7%<br />

34.0%<br />

30.7%<br />

The percentage take up of this benefit by poor<br />

households<br />

The percentage of poor households total expenditure<br />

covered by this benefit<br />

6.1.6. The impact of the benefit<br />

system on the reduction of<br />

poverty<br />

Take up of benefits by households living<br />

below the poverty line in <strong>Serbia</strong> has significantly<br />

increased in <strong>2007</strong>, as compared to <strong>2002</strong>. In <strong>2002</strong> of<br />

the total number of households receiving social<br />

assistance, 10.3 percent were living below the<br />

poverty line, in <strong>2007</strong> this rose to 15.0 percent. In<br />

addition, there was an increase in the participation<br />

of households receiving social assistance in the first<br />

quintile, from 19.5 percent in <strong>2002</strong> to 33.6 percent<br />

in <strong>2007</strong>. These results clearly indicate benefits are<br />

more successfully reaching the people who need<br />

them (Table 1).<br />

The degree of take up varies by the type of<br />

benefits. However, three benefits stand out as<br />

encompassing the largest number of households and<br />

having the biggest impact on poverty reduction. The<br />

benefits with more take up in <strong>2007</strong> compared to <strong>2002</strong><br />

are:<br />

• Attendance and assistance allowance<br />

• MOP<br />

• Child allowance.<br />

Graph 6.3 shows the take up of various<br />

benefits, it then highlights that only three programs<br />

had a considerable impact on the total finances of<br />

poor households (child allowance, MOP and<br />

attendance and assistance allowance).<br />

6.1.7. Being informed about social<br />

assistance programs and non<br />

claimants<br />

LSMS <strong>2007</strong> shows that households are not<br />

particularly well informed about the possibilities of<br />

receiving certain types of social assistance. Only<br />

11.4 percent of households living below the poverty<br />

line applied for MOP (in the last twelve months)<br />

compared to 2% of the non poor. The main reasons<br />

given for this by households living below the poverty<br />

line was they didn’t know how to apply or were<br />

unaware of the benefit, suggesting that there might<br />

need to be some action in terms of publicising this<br />

benefit. A very similar picture was seen in relation to<br />

humanitarian aid and one time cash benefits (Table<br />

3). It seems that approximately half of poor<br />

households are badly informed on their potential<br />

rights to claim some benefits or are not receiving<br />

74 <strong>Living</strong> <strong>Standards</strong> <strong>Measurements</strong> <strong>Study</strong> - <strong>Serbia</strong> <strong>2002</strong> - <strong>2007</strong>

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