No. 977 - The redistributive effects of in-kind transfers in Italy

Questioni di Economia e Finanza (Occasional papers)
by Emanuele Dicarlo and Marco Savegnago
November 2025
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This study assesses the redistributive effects of the main Italian public transfers in kind, by attributing to households the monetary value corresponding to their use of public healthcare, education, nurseries and social housing. It then compares the distribution of net income, which only takes into account taxes and cash transfers, with that of extended income, which also includes transfers in kind.

When transfers in kind are considered, the Gini inequality coefficient decreases from 35.0 to 29.6. The difference is attributable to healthcare expenditure (3.1 percentage points) and education (1.9 percentage points), in line with the relative amounts of public expenditure.

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