Intra-Urban Inequalities in a Southern European City: The Case of Palermo

This study examines intra-urban socio-economic inequalities in Palermo, analysing the degree of variation in household consumption expenditure across three geographical units: census tracts, First-Level Unit, and neighbourhoods. For each geographical unit, we present the distinct patterns of intra-urban inequalities identified and discuss them in the light of the socio-urban evolution of the city of Palermo. The analysis relies on the integration of two different data sources, the 2011 Census microdata and the 2019 Household Budget Survey, through a statistical matching technique. In this way, a synthetic dataset was obtained that includes information on household expenditure and their area of residence. A multilevel modelling approach is therefore used to exploit the hierarchical structure of our data, where households are grouped in nested territorial units. The results show that, even if most of the variation in consumption expenditure is due to household characteristics, significant territorial differences persist. The greatest between-area variation emerges at the census tract and neighbourhood levels, revealing patterns of macro- and micro-segregation.