Romania’s poor people are the poorest in the EU
business-review.eu Nov. 2018
Romania’s poor population is the poorest among the 28 European Union member states’ poor populations as its annual income is below EUR 1,000 per person, according to the NGO project The Social Monitor.
“10 percent of Romania’s poorest working people earn less than EUR 974 per year. More specifically, almost one million people who work earn less than EUR 3 a day,” the study says.
The share in the total national income of the tenth of the population with the lowest income is a measure of the inequality of income distribution – the smaller the share, the higher the inequality.
“Poor people are everywhere, but our poor people are significantly poorer than those in other countries: the poorest 10 percent of Romanians earn 10 times less than the poorest 10 percent of Europeans,” the study points out.
Economic Index of Romania
According to the figures, Romania should be a very good place to live in. It has a narrow gap between rich & poor and a very low poverty rate of 4.5%.
But why people complain about the poverty problem in Romania?
People compare Romania to other EU countries
Romania is a family of EU and people in Romania will naturally compare their living standards to rich countries like Germany and France.
The GDP of Germany is almost 4 times higher than that of Romania. This is certainly a very big gap.
How to Resolve this problem?
Study reveals what makes the Romanians happy
romania-insider Jan. 2019
As for what makes them happy, 57% of urban Romanians said the main reason is the relationship with their family, children or friends.
The main thing that makes the Romanians happy is their relation with close relatives and friends.
Possible Resolution
Don’t compare to other countries in the EU and don’t rely on aids from the EU.
Focus more energy to create opportunities for themselves such as Community Crowdfunding to gather more resources.
A lot of suggestions that increased community participation is the ultimate way to reduce poverty and make people happier.
Community Crowdfunding
If the funding can be coming from cashback from merchants such as people eating out every day, buying out every day.
The mathematics:
- As an example, GDP per capita for Romania is about US$ 10,081 per year https://data.worldbank.org
- Assumed retail merchant networks can cover all walks of life in Romania.
- 5% cashback will equate to 5% x US$ 10,081=US$504 per year
- Romania has a population of 19 million. Half of the people participate, 10 million users will generate cashback close to US$ 5 B annually.
This US$ 5B can be used as development fund such as:
- Small business enterprise funds
- Young people venture funds
- Education funds
- Technology venture funds
Conclusion
There are a lot of sustainable development goals and a world economic index to measure the success of a country. Most of them are trying to apply the wishes and values of the wealthy countries to the poor countries such as gender equality, clean energy, income inequality, climate action, life on land, peace & justice.
Don’t count on their aids and build the community crowdfunding structure and help themselves.
To learn how to create a Cashback program at retail nationwide, please visit CharityiBonus.com