The Great Recession led to significant and persistent drops in both wages and employment. Median real household cash income fell from $57,357 in 2007 to $52,690 in 2011. 15.6 million people were unemployed at the peak of the recession. Poverty increased from 12.5% in 2007 to 15.1% in 2010.
What is economic vulnerability in a family?
Economic vulnerability is operationalised as involving a distinctive risk profile in relation to relative income, household joblessness and economic stress. The factors affecting vulnerability outcomes were broadly similar for both cohorts.
What is the economic impact of family businesses?
When defined as businesses that are majority-owned by a single family’s members, it is estimated that the total economic impact of family businesses to global GDP is over 70%.
How does the global financial crisis affect poverty?
The impacts of the global financial crisis on poverty and income distribution in developing countries have proved difficult to track because real-time data are typically not available. Measuring these impacts is important not only for designing policy responses to the current shock, but also to mitigate the impact of future economic shocks.
How did the financial crisis affect middle income households?
Impact on the middle of the distribution can be attributed to significant shocks to employment and labour earning in the manufacturing sector, which employ a large number of workers from middle-income households.
How are vulnerable households affected by the financial crisis?
Crisis vulnerable households suffer much larger income losses (25% – 50%) than the average household (3% – 5%) – mainly due to loss in labour income in Mexico and the Philippines and loss in remittances in Bangladesh (Figure 1b). The results have a number of potential uses for policy design and monitoring.
