Modelling Vulnerability in the UK

  title={Modelling Vulnerability in the UK},
  author={Sanghamitra Bandyopadhyay and Frank A. Cowell},
In this paper we examine the concept of "vulnerability" (Townsend 1994) within the context of income mobility of the poor. We test for the dynamics of vulnerable households in the UK using Waves 1 12 of the British Household Panel Study and …nd that, of three di¤erent types of risks that we test for, household-speci…c shocks and economy-wide aggregate shocks have the greatest impact on consumption, in comparison to shocks to the income stream. Quantile-speci…c estimates reveal speci…c quantiles… CONTINUE READING