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The economic behaviour of households in Greece: recent developments and prospects

Author

Listed:
  • Konstantina Manou

    (Bank of Greece)

  • Evangelia Papapetrou

    (Bank of Greece, National and Kapodistrian University of Athens)

Abstract

The study analyses household financial wealth in Greece and examines its evolution over time, with particular emphasis on the recent period. An analysis of the components of net financial wealth, i.e. assets and liabilities, as well as their composition is performed. The saving behaviour of Greek households is analysed, initially through the interaction between investment and debt and subsequently through the interaction between consumption and disposable income. Finally, the evolution of disposable income and its components, as well as the evolution of household real final consumption expenditure by functional purpose are briefly reviewed. The analysis shows that the recent financial crisis has significantly affected Greek households’ net financial wealth. Moreover, household final consumption expenditure by purpose declined in real terms across all individual categories of expenditure.

Suggested Citation

  • Konstantina Manou & Evangelia Papapetrou, 2016. "The economic behaviour of households in Greece: recent developments and prospects," Economic Bulletin, Bank of Greece, issue 44, pages 7-33, December.
    • Handle: RePEc:bog:econbl:y:2016:i:44:p:7
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    File URL: https://www.bankofgreece.gr/BogEkdoseis/econbull201612.pdf
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    Cited by:

    1. Heather D Gibson & Georgia Pavlou, 2017. "Exporting and performance:evidence from Greek firms," Economic Bulletin, Bank of Greece, issue 45, pages 7-30, July.
    2. Zacharias Bragoudakis, 2018. "Are the price adjustments asymmetric in basic food categories? The case of the Greek food market," Economic Bulletin, Bank of Greece, issue 47, pages 75-91, July.
    3. Konstantina Manou & Panagiotis Palaios & Evangelia Papapetrou, 2019. "Housing wealth, household debt and financial assets: are there implications for consumption?," Working Papers 263, Bank of Greece.
    4. Nikos Vettas & Konstantinos Peppas & Sophia Stavraki & Michail Vasileiadis, 2020. "The contribution of Industry to the Greek economy: facts and prospects," Economic Bulletin, Bank of Greece, issue 52, pages 29-67, December.
    5. Ioannis Asimakopoulos & Athanasios P. Fassas & Dimitris Malliaropulos, 2020. "Does earnings quality matter? Evidence from the Athens Exchange," Economic Bulletin, Bank of Greece, issue 52, pages 93-112, December.

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    More about this item

    Keywords

    Wealth; consumption; saving;
    All these keywords.

    JEL classification:

    • E21 - Macroeconomics and Monetary Economics - - Consumption, Saving, Production, Employment, and Investment - - - Consumption; Saving; Wealth
    • E44 - Macroeconomics and Monetary Economics - - Money and Interest Rates - - - Financial Markets and the Macroeconomy

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