Household Debt and Financial Burden in Mexico ()
ABSTRACT
The objective of this work is to determine the debt
index and identify the financial burden of households in Mexico for 2014 by using
the data from ENIGH 2014. The hypothesis to be tested is that during the last
few years, households in Mexico are accelerating their dependence on debt to
satisfy their consumption and housing needs, which is added to disproportionate
interest rates, considerably increases their financial burden, which in many
cases slows down or leads to the bankruptcy of the economy of these households.
The results indicate that households in the first three deciles are in
unsustainable conditions and do not have the financial capacity to meet their
expenses and debts, while households in the fourth, fifth and sixth deciles are
at financial risk.
Share and Cite:
Rodríguez Pérez, R. , Castro Lugo, D. and Meneses Cruz, L. (2020) Household Debt and Financial Burden in Mexico.
Modern Economy,
11, 1929-1949. doi:
10.4236/me.2020.1111129.
Cited by
No relevant information.