Job expectations and financial fragility: evidence from pre-COVID Spain

Marcos Álvarez-Espiño (), Sara Fernández-López and Lucía Rey-Ares ()
Additional contact information
Marcos Álvarez-Espiño: Universidade de Santiago de Compostela
Lucía Rey-Ares: Universidade de Santiago de Compostela

Empirical Economics, 2024, vol. 66, issue 4, No 10, 1709-1733

Abstract: Abstract Previous research has related household financial fragility (FF) and the employment status of the household members by focusing only on the labour income channel. In contrast, the literature has scarcely addressed the study of this relationship from a psychological perspective that could be related to the theory of bounded rationality. This article aims to analyse how job expectations relate to the level of household FF. Using a sample of 8554 Spanish individuals in the period 2016–2017, we construct a multidimensional index of household FF. The results indicate that households with unemployed, self-employed, or part-time workers have higher levels of FF, but the job expectations of the household and the individual play an even more important role in the level of the FF. These findings suggest that the perception of labour market uncertainty may influence the level of household FF to a greater extent than the objective employment situations of the individuals.

Keywords: Employment status; Financial fragility; Job expectations; Part-time employment; Self-employment; Unemployment (search for similar items in EconPapers)
Date: 2024
References: View complete reference list from CitEc
Citations:

Downloads: (external link)
http://link.springer.com/10.1007/s00181-023-02499-3 Abstract (text/html)
Access to the full text of the articles in this series is restricted.

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:spr:empeco:v:66:y:2024:i:4:d:10.1007_s00181-023-02499-3

Ordering information: This journal article can be ordered from
http://www.springer. ... rics/journal/181/PS2

DOI: 10.1007/s00181-023-02499-3

Access Statistics for this article

Empirical Economics is currently edited by Robert M. Kunst, Arthur H.O. van Soest, Bertrand Candelon, Subal C. Kumbhakar and Joakim Westerlund

More articles in Empirical Economics from Springer
Bibliographic data for series maintained by Sonal Shukla () and Springer Nature Abstracting and Indexing ().