Nearly 100 million people in 21 EU countries do not have enough savings in their bank accounts to meet two months of basic expenses: food, utilities, rent or mortgage. Those born outside the EU are especially at risk. Government support is thus fundamental to help individuals withstand the COVID-19 crisis.
Date: May 7, 2020
Topic: European Macroeconomics & Governance
Despite state support, the COVID-19 crisis is wreaking havoc on households’ finances across Europe. Millions of individuals have stopped working or had to substantially reduce their working hours because of health restrictions or suppressed demand. How many households in Europe could live without income for one or two months?
In a working paper, we used the 2017 wave of the European Central