
The profile of the Brazilian over indebted consumer in the economic crisis worsening: A comparative analysis 2014-2016
Author(s) -
Rafaela Nogueira Carvalho,
Patrícia Regina Pinheiro Sampaio
Publication year - 2019
Publication title -
revista de estudos empíricos em direito
Language(s) - English
Resource type - Journals
ISSN - 2319-0817
DOI - 10.19092/reed.v6i1.266
Subject(s) - unemployment , declaration , phenomenon , debt , economics , work (physics) , demographic economics , development economics , economic growth , political science , macroeconomics , mechanical engineering , physics , engineering , quantum mechanics , law
Over-indebtedness is a phenomenon observed nowadays in both developed and developing countries, such as Brazil. In 2014, after analyzing data from a national survey, Sampaio and Porto presented some characteristics of the profile of over-indebted individuals in Brazil based upon self-declaration. Their analysis found that most overindebted individuals were women, with an average income of 1 to 2 minimum wages, aged between 25 and 44, and corresponding level of education to be complete high school. Data were also consistent with the international literature in the sense that isolated events such as unemployment, illness, marriage, birth of children and divorce, which often appear as being positively correlated with overindebtedness, were quoted in the survey, with emphasis in unemployment. This paper investigates the hypothesis that the profile of Brazilian over-indebted individuals may have changed due to the economic crisis. The alternative hypothesis is that the above characteristics have remained constant despite the deterioration of macroeconomic conditions. This analysis, if conclusive, may be relevant to the long-term planning of public policies to prevent and treat the phenomenon of overindebtedness. This work deepens the analysis of the over-indebted profile by testing the same hypothesis for the subgroup of individuals who claimed to be experiencing great difficulty in paying their debts (“heavy burden”), without, however, formally self-declaring to be overindebted