Economic crisis and the unemployment effect on household food expenditure: The case of Spain

Antelo, Manel and Magdalena, Pilar and Reboredo, Juan C. (2015): Economic crisis and the unemployment effect on household food expenditure: The case of Spain.

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.

• Item Type: MPRA Paper
• Language: English
• Keywords: Unemployment; UEFE; boom periods, crisis periods; Spanish households, matching techniques; difference-in-differences methods
• Subjects: C - Mathematical and Quantitative Methods > C3 - Multiple or Simultaneous Equation Models ; Multiple Variables > C31 - Cross-Sectional Models ; Spatial Models ; Treatment Effect Models ; Quantile Regressions ; Social Interaction Models; D - Microeconomics > D1 - Household Behavior and Family Economics > D12 - Consumer Economics: Empirical Analysis

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