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New Measures of Economic Insecurity Reveal its Expansion Into EU Middle Classes and Welfare States

Author

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  • Costanzo Ranci

    (Politecnico Di Milano)

  • Jason Beckfield

    (Harvard University)

  • Laura Bernardi

    (Université de Lausanne, Quartier UNIL-Mouline)

  • Andrea Parma

    (Politecnico Di Milano)

Abstract

Economic instability, social changes, and new social policies place economic insecurity high on the scholarly and political agenda. We contribute to these debates by proposing a new multidimensional, intertemporal measure of economic insecurity that accounts for both its multiplicity and its dynamism. First, we develop three theory-driven, multidimensional measures of economic insecurity. Principal Components Analysis validates the measure. Second, we develop a dynamic approach to insecurity, using longitudinal data and a newly revised headcount method. Third, we then use our new measures to analyze the distribution of insecurity in Europe. Our analysis shows that insecurity is widespread across Europe, even in low-inequality, encompassing welfare states. Moreover, it extends across income groups and occupational classes, reaching into the middle classes.

Suggested Citation

  • Costanzo Ranci & Jason Beckfield & Laura Bernardi & Andrea Parma, 2021. "New Measures of Economic Insecurity Reveal its Expansion Into EU Middle Classes and Welfare States," Social Indicators Research: An International and Interdisciplinary Journal for Quality-of-Life Measurement, Springer, vol. 158(2), pages 539-562, December.
    • Handle: RePEc:spr:soinre:v:158:y:2021:i:2:d:10.1007_s11205-021-02709-4
    DOI: 10.1007/s11205-021-02709-4
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    2. Sergei Aliukov & Jan Buleca, 2022. "Comparative Multidimensional Analysis of the Current State of European Economies Based on the Complex of Macroeconomic Indicators," Mathematics, MDPI, vol. 10(5), pages 1-29, March.
    3. Olga Cantó & Carmelo García Pérez & Marina Romaguera de la Cruz, 2023. "The Role of Tax-Benefit Systems in Shaping Economic Insecurity in the European Union," Hacienda Pública Española / Review of Public Economics, IEF, vol. 247(4), pages 7-36, December.

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