Tracking the livelihoods of the poor in urban context to understand factors that affect their attempt to move above the poverty line: The case of Rosario, Argentina (2000-2013) Photo : ©Rodrigo Rodríguez, Market Fair in Rosario city NOHA Master Thesis Master program International Humanitarian By Maximiliano Verdinelli Action Supervisor: Dr. Luz Paula Parra-Rosales May 2014 Uppsala University 30 ECTS 1 Abstract This study shows how the chronic poor living in the urban context of Rosario overcome their limitations to achieve livelihood goals in their attempt to move above the poverty line. A theoretical perspective, which complements the concept, definitions and analytical viewpoints concerning: livelihoods, resilience and adaptation, chronic poverty, poverty dynamics and poverty line, is outlined to reflect the findings with the existing theories that enable examining the limiting and the supporting factors that really matter for the livelihood of the poor. In total, 27 interviews were conducted, 12 with selected participants who were living in the situation of chronic poverty in the year 2000, and 15 with key informants and other stakeholders in order to explore the life experiences of the poor through: the context vulnerability; access to assets; policy, institutions and processes; livelihood strategies and outcomes. After examining how the chronic poor living in Rosario are able to make their way of living, it has been observed that for them it is not possible to secure strategies which assure enough returns to improve their resilience, capacity of adaptation and reduction of vulnerability if there is no financial and technical support beyond the support given to them in terms of social protection to cover their basic needs. It has also been found that the support and accompaniment given to them during their changing process require a well-coordinated implementation of public policies, programs and projects which need to be improved. Thus, a humanitarian approach focusing on the household livelihood security which links emergency, recovery and development is described to analyze what is being done in Rosario in terms of programing and on the other hand to formulate some recommendations to improve them. 2 Preface For this thesis, I would like to thank my thesis supervisor Dr. Luz Paula Parra-Rosales and Dr. Lars Löfquist for guiding me during the process. In addition, I would like to express my deep thanks to all interviewees for sharing their good and bitter life experiences and to the coordination team from the Secretariat of Social Promotion of the Municipality of Rosario, especially to the coordination team of the CCB Nº16 and my former coworkers, their support and collaboration were also central in this research. Last but not less important, I would also like to thank my partner for her patience, to my family and friends. 3 Table of Contents Abstract ................................................................................................................... 2 Preface .................................................................................................................... 3 Acronyms ................................................................................................................ 6 1. Introduction ......................................................................................................................... 7 1.1.Livelihood of the Poor: Background information and research relevance for the Humanitarian Action .......................................................................................... 7 1.2.Objective of the Research ................................................................................. 9 1.3.Research Method ............................................................................................... 9 1.4.Research limitations ........................................................................................ 13 1.5. Thesis outline .................................................................................................. 13 2. Background of the context ................................................................................ 15 2.1.The reforms of the 1990s and the recession period 1999-2002 that lead to the crisis of 2001 in Argentina .................................................................................... 15 2.2.Great Rosario City and its context ........................................................................ 17 2.2.1. Political organization and governance ................................................. 18 2.2.2. Poverty, unemployment and job insecurity in Great Rosario .............. 19 2.2.3. Urban violence in Rosario .................................................................... 20 2.2.4. Irregular settlements in Rosario ............................................................ 21 2.2.5. North District neighborhoods and institutions ........................................ 22 3. Theoretical framework ..................................................................................... 24 3.1.The concept of livelihood ................................................................................ 24 3.2.The (DFID) Sustainable Livelihood Framework (SLF) .................................. 24 2.2.1. Vulnerability context .............................................................................. 25 2.2.2. Livelihood Assets ................................................................................... 26 2.2.3. Transforming Structures and Processes ................................................. 27 2.2.4. livelihood strategies ................................................................................ 28 2.2.5. livelihood outcomes ............................................................................... 28 3.3.Linking chronic poverty with livelihood approach ......................................... 30 3.4.Change of poverty status over time: Visualizing poverty dynamics ............... 32 3.5.Poverty line ..................................................................................................... 33 4. Research finding: examining the livelihood of the poor ................................... 35 4.1.Reasons why people have fallen into poverty ................................................. 35 4.2.How people respond to adversity in order to achieve livelihoods goals ......... 40 4.2.1. Livelihoods outcomes of the poor that have managed to move above the poverty line ....................................................................................................... 48 4.2.2. Livelihood outcomes of the poor that have been moving up/down the poverty line ....................................................................................................... 49 4.2.3. Livelihoods outcomes of chronic poor trapped in poverty .................... 51 4.3. Remarks. ................................................................................................................. 52 5. Research finding: Public institutions, policies and process influencing livelihood ........................................................................................................... 60 5.1.How can the livelihood of the poor be improved? ........................................... 60 5.2. Livelihood program implemented in the urban context of Rosario. ............... 61 4 5.3.Comments ................................................................................................................ 63 6. Conclusions and Recommendations ................................................................ 64 6.1.Conclusions ..................................................................................................... 64 6.2. Policy Recommendations ................................................................................ 66 7. Appendix ............................................................................................................ 70 Argentina´s Map .................................................................................................... 70 7.1.Appendix 1, Questionnaires ............................................................................ 71 7.2. Appendix 2, Interviewees ............................................................................... 73 7.3. Appendix 3, Table of interviewees’ income status at the moment of the study .......................................................................................................................... 73 7.4. Appendix 4, Energy needs and consumer units by sex and age ..................... 74 7.5.Appendix 5, Value of the monthly Basic Food Basket and the Total Basic Basket .............................................................................................................. 75 7.6. Appendix 6, Key informants ........................................................................... 76 8. References 8.1.Reference list ............................................................................................................ 77 5 Acronyms ANSES Administración Nacional de seguridad Social (National Administration of Social insurance) ANSSAl Administración Nacional del Seguro de salud (National Administration of health insurance) CARE Cooperative for Assistance and Relief Everywhere – INGO CBA (BFB) Canasta Básica de Alimento (Basic Food Basket) CBT (TBB) Canasta Básica Total (Total Basic Basket) CBO Community Based Organization CCB Centro de Convivencia Barrial (Coexistence Neighborhood Center)