Britannia Radio

Israelis face greater poverty risk than Europeans, but are more optimistic

Nearly a third of the Israeli population is in danger of sliding into poverty, compared to average 16 percent in EU countries; figure comprises mainly children and elderly.

By Lior Detel, The MarkerTags: Israel news European Union

Nearly a third of the Israeli population is in danger of sliding into poverty, according to a recent report by the Central Bureau of Statistics.

The 29% of Israelis at risk compares to an average of only 16% in European countries, said the report, released on International Day of the War on Poverty.

	Israelis shopping for food; the people in this photo have no connection to the story.
	Photo by: Tomer Appelbaum

The figure was based on households for which the available income per person is less than 60% of the average in Israel.

According to 2008 statistics, this marks a 2% rise in the chance of falling into poverty since the beginning of the decade. In 2000, only 27% of the population was at risk for poverty. During those same years, the figure for at risk dropped in the European Union.

"The percentage of [Israeli] families with many children is higher than in the European Union, and the percentage of breadwinners in those households is lower," said the CBS in its report.

The report also stressed that the majority of the at-risk population comprises children and the elderly. In Israel, that percentage is twice as high as in the European Union – 38% in Israel as compared to 19% in the EU. A third of the elderly in Israel, are at risk for poverty, compared to only 20% in the European Union.

Inequalities in Israel greater than in EU

According to CBS statistics, the average net income per person for the richest 5% of the population in Israel is 7.5 times that average net income per person for the poorest 10% of the population – a figure worse than every country in the European Union.

In 2000, the richest elements of the population made only 6.5 times more than the poorest. In Europe, there was an increase in the disparity, as well, but it was much smaller; today, the richest Europeans make 4.9 times more than the poorest Europeans, whereas the figure in the year 2000 was 4.5.

In the wake of difficult economic conditions, 21% of Israelis reported times when they did not buy food for lack of money in 2007. The figure for European countries was only 11%. The situation is much worse for Arab citizens of Israel. 50% of Arabs reported that they skipped food purchases in 2007 due to economic hardship.

However, only 12% of Israelis reported that they do not manage to cover their household expenses, compared to 14% of Europeans. Additionally, the percentage of Israelis over the age of 20 that consider themselves unhealthy is 20% -- significantly higher than the average in the European Union, only 8%.

Despite the poverty, Israelis are more optimistic than Europeans

Although according to CBS statistics, the economic situation of the average Israeli is much worse than his or her European counterpart, and the gap between rich and poor is much worse in Israel than in Europe, Israelis are more optimistic than Europeans, in general.

86% of Israelis 20 and over reported that they are happy with their lives, compared to 77% of Europeans 15 and over. The Bureau cautions that the statistic should be understood in the context that contentment dropped in Europe in 2008 because of the economic recession, which rose in Israel from 83% in 2006 to 86% in 2008.

The statistics also reveal that the Israeli people are more optimistic than all the other European Union countries. 57% of Israelis feel that their lives will be better in the years to come, compared to a 32% average among EU countries. Israelis are more optimistic than Swedes (50%), Germans (22%), and Portuguese (15%).