The at-risk-of-poverty rate before social transfers measures a theoretical situation where social transfers do not exist. Comparing it with the at-risk-of-poverty rate after social transfers reveals whether social protection measures have a key redistributive impact hat helps to reduce the number of people at risk of poverty. Comparing at-risk-of-poverty rates before and after social transfers makes it possible to assess the effectiveness of welfare systems (see Figure 11).
At-risk-of-poverty rate before and after social transfers, EU-27, 2019 (%)
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