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Addressing Income Volatility of Low Income Populations
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In recent years, there has been growing academic and media attention regarding income inequality—the disparity in the distribution of income across households. This report focuses on a less studied issue, how income varies within households even over relatively short periods of time. Variability or volatility in income can contribute to economic hardship, even among families with an annualized income above the poverty line. While this report highlights the importance of income volatility for working families, it also launches a timely discussion of what policies and programs can do to mitigate the hardships imposed by increasing income volatility. This report develops an innovative set of alternatives to stimulate innovations in policies, programs, and financial products aimed at economically vulnerable households.
Author: Ann Drazkowski, Joel Doucette, Sarah Austin, Scott Wood, Virginia Andersen
Topic: Financial well-being
Publisher: The Financial Clinic
Location: United States
Format: Report
Content Type: Research
Publication Date: December 31, 2015