Font Size: 

In this work we focus on estimating the incidence and intensity of monetary poverty at sub-regional level taking into account the different price level within the country. Indeed, in Italy the North-South divide has turned off into a strong different price level, which can affect the poverty threshold.

The local price level is accounted by purchasing power parity indexes computed at sub-regional levelfrom two different big data sources: 1. from retail scan data on regional and sub-regional retail volumes (units) and price for food and grocery  (Istat/Nielsen), and 2. the transaction prices of houses made available by the Revenue Agency at Italian sub-municipality level (Revenue Agency - OMI).

Sub-regional level poverty estimates will be obtained using area level small area models, which link direct unreliable estimates to aggregated auxiliary information, often easily available.

This work is motivated by previous evidence of the influence of sub-national (regional) price indexes on local poverty threshold, depicting a different poverty scenario then that obtained without considering them. This work is partially supported by the MAKSWELL European project G.A. no. 770643.