Why rising tides dont lift all boats? An explanation of the relationship between poverty and unemployment in Britain
AbstractAbstract: This paper is motivated by the lack of any obvious relationship between aggregate poverty and unemployment in Great Britain. We derive a framework based on individuals' risks of unemployment and poverty, and how these vary over the economic cycle. Analysing the British Household Panel Survey for 1991-96, we are able to square the micro evidence - that unemployment matters for poverty - with the macro picture - that there's no strong link. We then go on to identify which household and individual characteristics are associated with whether an individual's poverty risk is vulnerable to the economic cycle.
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Bibliographic InfoPaper provided by Centre for Analysis of Social Exclusion, LSE in its series CASE Papers with number case46.
Date of creation: Feb 2001
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Web page: http://sticerd.lse.ac.uk/case/_new/publications/default.asp
Poverty; unemployment; economic cycle;
Other versions of this item:
- Simon Burgess & Karen Gardiner & Carol Propper, 2001. "Why rising tides don't lift all boats: an explanation of the relationship between poverty and unemployment in Britain," LSE Research Online Documents on Economics 6438, London School of Economics and Political Science, LSE Library.
- I32 - Health, Education, and Welfare - - Welfare, Well-Being, and Poverty - - - Measurement and Analysis of Poverty
- E24 - Macroeconomics and Monetary Economics - - Consumption, Saving, Production, Employment, and Investment - - - Employment; Unemployment; Wages; Intergenerational Income Distribution
- D31 - Microeconomics - - Distribution - - - Personal Income and Wealth Distribution
- E32 - Macroeconomics and Monetary Economics - - Prices, Business Fluctuations, and Cycles - - - Business Fluctuations; Cycles
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