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Franco Malerba, Sunil Mani and Pamela Adams

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Edited by Franco Malerba, Sunil Mani and Pamela Adams

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Kenneth A. Reinert

This volume on globalisation and development is part of a larger Elgar Handbook series on globalisation. Its chapters engage two multidimensional concepts: globalisation and development. In doing so, it does not impose a particular conception of either. Rather, authors were given full rein to treat these subjects as they thought best in light of their particular subjects. The volume is structured around seven subjects: international trade, international production, international finance, migration, foreign aid, a broader view and challenges. The volume’s chapters provide important insights into each of these realms of globalisation and development.

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Edited by Kenneth A. Reinert

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Richard Anker and Martha Anker

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Richard Anker and Martha Anker

Up to this point, this manual has discussed how much disposable income a reference size family needs to be able to afford a basic but decent standard of living. However, almost all countries have statutory deductions from pay that need to be taken into account to ensure that workers have sufficient take home pay. Chapter 14 discusses various statutory deductions from pay such as income tax, social security, worker contributions to national health schemes, etc. and indicates how to take them into account in estimating a living wage. The chapter distinguishes between voluntary deductions from pay such as Christmas savings funds (which is treated as ordinary expenditure), personal deductions from pay which apply to only some individuals such as loan repayment or alimony (which are also treated as ordinary expenditure), and statutory deductions from pay such as for taxes or social security paid by all workers. Statutory deductions from pay are taken into consideration in the calculation of a living wage estimate in the Anker methodology. This is important because statutory deductions from pay can be considerable even in poor countries and for workers with low wages. Since statutory deductions vary from country to country and sometimes even between locations within countries, calculating the amount of statutory deductions needs to be location-specific. A hypothetical example is provided of how this calculation should be made in a country with a fairly simple tax code.

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Richard Anker and Martha Anker

Open access

Richard Anker and Martha Anker

The Anker methodology is intended to produce more than just a number. It is intended to be used as a catalyst for action. To that end, a living wage report using the Anker methodology should describe each step in the estimation process in a clear and transparent way, so that workers, employers, unions, the value chain, the public, researchers, governments and NGOs are able to understand what goes into estimating a living wage in the Anker methodology. Chapter 18 provides an annotated outline of what should be included in a living wage report as a standard guide for writing up the results of a living wage study.

Open access

Richard Anker and Martha Anker

Open access

Richard Anker and Martha Anker

Because the estimate of non-food non-housing costs (NFNH) is based on secondary data and not on normative standards, the Anker methodology includes extra checks dubbed post checks on the preliminary estimate for NFNH costs, to ensure that enough is included in NFNH costs for the education of children and adequate health care, because these are considered human rights around the world. A post check for transport costs is sometimes also done when this is a large expenditure for families. Chapter 8 describes the general principles and approaches to carrying out a post check. A description of a transport post check is included in an annex.