Font Size:
Measuring Economic Uncertainty: Longitudinal Evidence Using a Latent Transition Model
Last modified: 2018-05-16
Abstract
Economic uncertainty has become an increasing important factor in explaining socio-economic household behaviour, especially for its implications in household choices and demographic dynamics. Accordingly, an operational definition and a measure of economic uncertainty are needed. To this aim, the main purpose of this contribution is to measure economic uncertainty of Italian families by using the 2008-2011 and 2012-2015 longitudinal Italian SILC (Statistics on Income and Living Conditions) data in a latent transition analysis (LTA) approach. LTA is applied, in order to: i) to classify Italian households into homogenous classes characterized by different levels of economic uncertainty, and ii) to assess whether changes in latent class membership occurred in the time span selected.
Full Text:
DOC