IDEAS home Printed from https://ideas.repec.org/a/fip/fedfel/99719.html
   My bibliography  Save this article

The Ups and Downs of Household Income

Author

Listed:
  • Deepika Baskar Prabhakar
  • Robert G. Valletta

Abstract

Changes in overall economic conditions may affect real household income levels and also how income is distributed across households. Analysis using annual data from 1967 to 2023 shows that the adverse effects of unemployment and inflation have been generally uniform across the household income distribution. However, the pandemic recession showed a different pattern: Historically large government transfers via enhanced unemployment insurance benefits largely offset the adverse economic effects of surging unemployment for lower-income households. Results also show that sustained economic expansions have beneficial effects, especially for lower-income households.

Suggested Citation

  • Deepika Baskar Prabhakar & Robert G. Valletta, 2024. "The Ups and Downs of Household Income," FRBSF Economic Letter, Federal Reserve Bank of San Francisco, vol. 2025(06), pages 1-6, March.
  • Handle: RePEc:fip:fedfel:99719
    as

    Download full text from publisher

    File URL: https://www.frbsf.org/research-and-insights/publications/economic-letter/2025/03/ups-and-downs-household-income/?utm_source=mailchimp&utm_medium=email&utm_campaign=economic-letter
    File Function: Full text - article PDF
    Download Restriction: no
    ---><---

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:fip:fedfel:99719. See general information about how to correct material in RePEc.

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no bibliographic references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: Federal Reserve Bank of San Francisco Research Library (email available below). General contact details of provider: https://edirc.repec.org/data/frbsfus.html .

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service. RePEc uses bibliographic data supplied by the respective publishers.