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Kosovo Human Development Report 2010 - UNDP Kosovo - United ...

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absence of material well-being and inability<br />

to meet critical needs. Individuals<br />

or households then become reliant on<br />

social safety nets and/or remittances.<br />

(i) Exclusion from all factor markets:<br />

the <strong>UNDP</strong>’s <strong>Kosovo</strong> Mosaic: Public Services<br />

and Local Authorities in Focus survey<br />

(2009) indicates that approximately<br />

eight percent of Kosovans are excluded<br />

from all sources of income as a worker,<br />

land owner or employer and they are<br />

not receiving any kind of factor incomes<br />

such as wage, rent, and profits. 42<br />

The labour market is the primary source<br />

of access to factor markets: nearly half<br />

of all Kosovans (42.7 percent) rely on<br />

it without any other source of income<br />

(e.g. business ownership or arable land).<br />

Table<br />

2.4<br />

Types of exclusion from<br />

factor markets<br />

have all 8.3%<br />

no arable land 12.2%<br />

no business 22.2%<br />

no arable land and no business 42.7%<br />

unemployed 0.8%<br />

no arable land and unemployed 0.5%<br />

unemployed and have no<br />

business<br />

no arable land, no business and<br />

no employment<br />

5.6%<br />

7.6%<br />

Total 100.0%<br />

Source: Calculated from <strong>Kosovo</strong> Mosaic Survey, <strong>UNDP</strong> 2009<br />

(ii) Exclusion from basic goods and<br />

services: this form of exclusion assumes<br />

inability to afford a “minimum”<br />

consumption sufficient to provide<br />

the necessities of life. “Minimum”<br />

consumption includes enough<br />

food, shelter, clothing, basic health,<br />

education and essential services to<br />

give a person the minimum needed<br />

for human decency. In <strong>Kosovo</strong>, as<br />

assessed by the 2009 <strong>Kosovo</strong> Mosaic<br />

Survey, it is calculated that 21 percent<br />

of the population is excluded<br />

from all basic goods and services.<br />

Table 2.5 below examines in depth the<br />

distribution of households’ exclusion<br />

from basic goods and services based on<br />

the lack of their access to different factor<br />

markets. The data, once again, indicates<br />

the extreme fragility of <strong>Kosovo</strong>’s labour<br />

market. Those sheltered from the labour<br />

market (i.e. business owners and land<br />

owners) are, on the whole, able to meet<br />

their critical needs. No business owners,<br />

and only 2.7 percent of landowners, are<br />

excluded from basic goods and services.<br />

In addition, employment alone does<br />

not protect from exclusion from goods<br />

and services. The data show that 30.2<br />

percent of those households excluded<br />

from basic goods and services have one<br />

employed member. This confirms that<br />

the wages received are not always sufficient<br />

to lift households from exclusion.<br />

Similarly, 28.7 percent of those unable<br />

to meet their critical needs are poor<br />

despite access to both land and the<br />

labour market. The vast majority - 85.9<br />

percent - of those unable to meet their<br />

most critical needs participate in factor<br />

markets in one way or another.<br />

Table<br />

2.5<br />

Percentage of households excluded from goods and<br />

services with different access to factor markets<br />

% of excluded % all <strong>Kosovo</strong><br />

Have all factor markets 8.0 1.7<br />

have business and employment 4.6 1.0<br />

have land and employment 28.7 6.1<br />

have only employment 30.2 6.4<br />

have land and business 1.8 0.4<br />

have business 0.0 0.0<br />

have only land 12.6 2.7<br />

have no factor markets 14.1 3.0<br />

TOTAL 100 21.2<br />

ECONOMIC AND LABOUR MARKET EXCLUSION | 37

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