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An Economic Analysis of Personal Debt

Samuel Cameron () and D Golby

Bulletin of Economic Research, 1990, vol. 42, issue 3, 241-47

Abstract: The treatment of debt in conventional economic theory is considered and compared with recent writings on the economics of self-control and cognitive dissonance. The paper considers factors influencing the level of debt, conditional on debt being greater than zero and goes on to report a multivariate analysis of a sample of individuals in this position. The data comes from the case records of money advisers in Citizens Advice Bureaux (CABS) in Staffordshire. The amount of debt is found to be correlated with indicators of life cycle and a measure of the exercise of self-control. Copyright 1990 by Blackwell Publishing Ltd and the Board of Trustees of the Bulletin of Economic Research

Date: 1990
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