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Cover -- Contents -- Abstract -- I. Introduction -- II. Literature review -- III. Trends in inequality and poverty -- IV. Macro-level analysis -- V. Micro-level analysis -- VI. Conclusions -- References -- Tables -- Table 1. Determinants of inequality -- Table 2. Determinants of inequality, fixed effects regression -- Table 3. Poverty percepti ons and household characteristics -- Table 4. Determinants of subjective poverty perceptions -- Table A.1. Poverty perceptions and househould characteristics -- Table A.2. Characteristics of objectively and subjectively poor households -- Table A.3. Determinants of subjective poverty perceptions (Western Balkans) -- Table A.4. Determinants of subjective poverty perceptions (Central and South Eastern Europe) -- Figures -- Figure 1. Perceptions of well-being -- Figure 2. Poverty, inequality and consumption shares -- Figure 3. Inequality in the aftermath -- Figure 4. Correlation between unemployment and inequality -- Figure 5. Objective and subjective relative standing of households -- Figure 6. Poverty and poverty perceptions -- Figure 7. Objective and subjective poverty lines and corresponding headcounts -- Figure A.1. Share of households who are poor and feel poor -- Figure A.2. Objective and subjective poverty lines in the Western Balkans -- Figure A.3. Impact of the crisis in the Western Balkans and Central and South Eastern Europe -- shock and coping mechanisms by decile in the Western Balkans -- Annexes -- Annex 1 -- Annex 2: Social safety nets in the Western Balkans.