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Vulnerability in consumption, education, and health - evidence from Moldova during the Russian crisis

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  • Murrugarra, Edmundo
  • Signoret, Jose
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    Abstract

    The authors analyze the widespread effects of the financial crisis in Russia to explore the vulnerabilities of households in Moldova. They show that the crisis had differential impacts on households, affecting most the urban and better-off. Households'decisions about education and health resulted in decreased utilization and expenditures. The enrollment of young children from better-off households did not improve while others did. Secondary school enrollment of children from better-off households decreased after the crisis, in part because of the need to release labor supply. Health utilization decreased mainly for primary health care (not for hospitals), both for better-off households and in rural areas. Some of these changes are due to limited household resources (health), decreased public spending (health and education) or the need to increase households'labor supply (education of teenagers). Social benefits played a very limited role in mitigating these effects, solely in health care use. Households'assets helped to offset some of the negative effects of declining incomes.

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    Bibliographic Info

    Paper provided by The World Bank in its series Policy Research Working Paper Series with number 3010.

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    Date of creation: 30 Apr 2003
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    Handle: RePEc:wbk:wbrwps:3010

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    Keywords: Environmental Economics&Policies; Health Monitoring&Evaluation; Housing&Human Habitats; Public Health Promotion; Economic Theory&Research; Health Monitoring&Evaluation; Housing&Human Habitats; Environmental Economics&Policies; Economic Theory&Research; Inequality;

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    1. Edward E. Leamer, 1988. "Measures of Openness," NBER Chapters, in: Trade Policy Issues and Empirical Analysis, pages 145-204 National Bureau of Economic Research, Inc.
    2. Angus Deaton & Salman Zaidi, 2002. "Guidelines for Constructing Consumption Aggregates for Welfare Analysis," World Bank Publications, The World Bank, number 14101, October.
    3. Schady, Norbert R., 2002. "The (positive) effect of macroeconomic crises on the schoolingand employment decisions of children in a middle-income country," Policy Research Working Paper Series 2762, The World Bank.
    4. Hentschel, J. & Lanjouw, P., 1996. "Constructing an Indicator of Consumption for the Analysis of Poverty. Principles and Illustrations with Reference to Ecuador," Papers 127, World Bank - Living Standards Measurement.
    5. Thomas, Duncan & Beegle, Kathleen & Frankenberg, Elizabeth & Sikoki, Bondan & Strauss, John & Teruel, Graciela, 2004. "Education in a crisis," Journal of Development Economics, Elsevier, vol. 74(1), pages 53-85, June.
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