Household debt and social interactions

Arbeitspapier

Debt-induced crises, including the subprime, are usually attributed exclusively to supply-side factors. We examine the role of social influences on debt culture, emanating from perceived average income of peers. Utilizing unique information from a household survey representative of the Dutch population, that circumvents the issue of defining the social circle, we consider collateralized, consumer, and informal loans. We find robust social effects on borrowing, especially among those who consider themselves poorer than their peers; and on indebtedness, suggesting a link to financial distress. We employ a number of approaches to rule out spurious associations and to handle correlated effects.

Angaben zum Objekt

• Sprache: Englisch

Verweise und Beziehungen

• Erschienen in: Series: CFS Working Paper ; No. 2012/05

Klassifikation und Themen

• Klassifikation: Wirtschaft ; Portfolio Choice; Investment Decisions ; Macroeconomics: Consumption; Saving; Wealth
• Thema: Household Finance ; Household Debt ; Social Interactions ; Mortgages ; Consumer Credit ; Informal Loans ; Private Finanzplanung ; Private Verschuldung ; Soziale Beziehungen ; Soziale Gruppe ; Niederlande

Beteiligte, Orts- und Zeitangaben

• Ereignis: Geistige Schöpfung
• (wer): Georgarakos, Dimitris ; Haliassos, Michael ; Pasini, Giacomo
• Ereignis: Veröffentlichung
• (wer): Goethe University Frankfurt, Center for Financial Studies (CFS)
• (wo): Frankfurt a. M.
• (wann): 2012

Weitere Informationen

• Handle: http://hdl.handle.net/10419/71144
• URN: urn:nbn:de:hebis:30:3-240863
• Letzte Aktualisierung: 10.03.2025, 11:41 MEZ