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Economic crisis and the unemployment effect on household food expenditure: The case of Spain
Affiliation:1. Universidade de Santiago de Compostela, Santiago de Compostela, Spain;2. Hospital Povisa, Vigo, Spain;3. Universidade de Santiago de Compostela, Santiago de Compostela, Spain;1. Economic Research Service, U.S. Department of Agriculture, 1400 Independence Ave., SW Mail Stop 1800, Washington, DC 20250, United States;2. Iowa State University, Department of Economics, 460E Heady Hall, Ames, IA 50011, United States;1. Texas A&M University, United States;2. Department of Agricultural Economics, TAMU, United States;3. Department of Agricultural Economics, Texas A&M University, 2124 TAMU, College Station, TX 77843, United States;1. International Food Policy Research Institute, 2033 K Street, NW, Washington DC, USA;2. University of Tasmania, Hobart, Australia, Ministry of Agriculture Development, Kathmandu, Nepal;3. Ministry of Agricultural Development, Government of Nepal, Nepal;4. International Food Policy Research Institute, Delhi, India;1. International Development, Michigan State University, Department of Agriculture, Food, and Resource Economics, 207 Agriculture Hall, East Lansing, MI 48824, USA;2. Spatial Economist, International Maize and Wheat Improvement Center (CIMMYT), P.O. Box 5689, Addis Ababa, Ethiopia;3. Agricultural and Applied Economics, Department of Agricultural and Applied Economics, Lilongwe University of Agriculture and Natural Resources, Bunda College Campus, P.O. Box 219, Lilongwe, Malawi
Abstract:This paper examines the unemployment effect on food expenditure (UEFE) for Spanish households and quantifies its magnitude in boom and crisis periods. The results show that the UEFE was negative in both contexts but was reinforced during the economic crisis. Applying propensity score matching and difference-in-differences techniques to a sample of Spanish households for 2006 and 2013 (representative of a boom period and a crisis period, respectively), we found that the UEFE amounted to 2.9% in the boom period and to 4.5% in the crisis period. Quantile difference-in-differences estimates confirmed that the economic crisis enhanced the UEFE for Spanish households, with this effect decreasing continuously up to quantile 0.9. The UEFE was exacerbated mainly in those economically disadvantaged households.
Keywords:Unemployment  UEFE  Boom periods  Crisis periods  Spanish households  Matching techniques  Difference-in-differences methods
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