Argentina: Macroeconomic Crisis and Household Vulnerability
Using panel data from the Argentine Permanent Household Survey, this paper analyzes which households were more vulnerable to the Argentine macroeconomic crisis during 1999-2002. Results suggest that the impact of the crisis was not uniform across households, which differed in their ability to cope with shocks. In particular, households with more children, and whose head was male, less educated, and employed in the private sector were the most vulnerable, suffering larger than average declines in income. Shocks to labor income were significant, with both unemployment rates and unemployment spells increasing throughout the period, particularly during the peak of the crisis towards the end of 2001. Individuals with low levels of human capital (proxied by education and experience), males, and self-employed were more likely to lose their jobs. Public sector employees, in contrast, were more protected from the impact of the crisis on employment. Copyright © 2007 International Monetary Fund; Journal compilation © 2007 Blackwell Publishing Ltd.
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Volume (Year): 11 (2007)
Issue (Month): 1 (02)
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