Economic Vulnerability and Severity of Debt Problems: An Analysis of the Irish EU-SILC 2008
In this paper, using Ireland, where debt issues are of particular salience as a test case, we seek to understand the extent to which the measures currently employed as national indicators of poverty and social exclusion succeed in capturing over-indebtedness and, more broadly, severity of debt problems. Our analysis reveals a clear gradient with predictive ability increasing sharply as one moves from ‘at risk of poverty’ to consistent poverty and finally economic vulnerability indicators. In relation to debt problems, the key distinction is between the just under one in five households defined as economically vulnerable and all others. Financial exclusion, relating to access to a bank account and a credit card, was found to increase debt levels. However, such effects were modest. The impact of economic vulnerability seems to be largely a consequence of its relationship to a wide range of socio-economic attributes and circumstances. The manner in which a potential debt crisis unfolds will be shaped by the broader socio-economic structuring of life-chances. Any attempt to respond to such problems by concentrating on household behaviour or, indeed, triggering factors without taking the wider social structuring of economic vulnerability is likely to be both seriously misguided and largely ineffective.
|Date of creation:||06 Jul 2011|
|Date of revision:|
|Contact details of provider:|| Postal: Arts Annexe, Belfield, Dublin 4|
Phone: +353 1 7164615
Fax: +353 1 7161108
Web page: http://www.ucd.ie/geary/
More information through EDIRC
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:
- Christopher T. Whelan, 2007.
"Understanding the Implications of Choice of Deprivation Index for Measuring Consistent Poverty in Ireland,"
WP181, Economic and Social Research Institute (ESRI).
- Christopher T. Whelan, 2007. "Understanding the Implications of Choice of Deprivation Index for Measuring Consistent Poverty in Ireland," The Economic and Social Review, Economic and Social Studies, vol. 38(2), pages 211-234.
- Adele Atkinson & Stephen McKay & Sharon Collard & Elaine Kempson, 2007.
"Levels of Financial Capability in the UK,"
Public Money & Management,
Taylor & Francis Journals, vol. 27(1), pages 29-36, February.
- Maitre, Bertrand & Nolan, Brian & Whelan, Christopher T., 2006. "Reconfiguring the Measurement of Deprivation and Consistent Poverty in Ireland," Research Series, Economic and Social Research Institute (ESRI), number PRS58.
When requesting a correction, please mention this item's handle: RePEc:ucd:wpaper:201113. See general information about how to correct material in RePEc.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Geary Tech)
If references are entirely missing, you can add them using this form.