Problem raspodjele dohotka i analiza siromaštva Republike Hrvatske
Income distribution and analysis of poverty in the Republic of Croatia

Summary/Abstract: This paper elaborates the issues of inequality in income and wealth distribution, looking especially into the origins of income inequality, the poverty problem and ways to fight poverty. Inequality in income distribution is definitely related to poverty, of which there are three kinds: relative poverty, moderate poverty and extreme (absolute) poverty. The last kind is endured by some 40% of the total world population. Furthermore, the issues of poverty in Croatia are examined, comparing the country’s poverty indicators with those in the EU. Since Europe is not immune to this problem, EU countries have recently launched national programmes in an attempt to eradicate poverty. Some new ideas how to fight poverty and inequality are presented at the end of the paper, such as micro credits offered by the Grameen Bank, insurance against inequality that aims to reduce it by reorganizing the tax system, and the idea of achieving sustainable development within each country.

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