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Vulnerable households and variable incomes

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In this paper we examine the concept of "vulnerability" within the context of income mobility of the poor. We test for the dynamics of vulnerable households in the UK usingWaves 1 - 12 of the British Household Panel Study and find that, of three different types of risks that we test for, household-specific shocks and economy-wide aggregate shocks have the greatest impact on consumption, in comparison to shocks to the income stream.

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en

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application/pdf

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http://eprints.lse.ac.uk/2679/1/Vulnerable_Households_and_Variable_Incomes.pdf

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