The effect of financial fragility on employment

Chletsos, Michael; Σίντος, Ανδρέας

doi:10.1016/j.econmod.2020.09.017

Cited by 15 publications

(5 citation statements)

References 48 publications

Supporting

Mentioning

Contrasting

Order By: Relevance

“…Financial fragility among youths needs more serious attention because they are the mainstay of a country's economic activity. The average youth of the millennial generation has filled the job market nowadays [14]. The purchasing power of the millennial generation has become a significant market force in the economy [15][16][17].…”

Section: Introductionmentioning

confidence: 99%

“…The purchasing power of the millennial generation has become a significant market force in the economy [15][16][17]. If financial fragility occurs a lot among youths, it not only complicates daily life, but also has a negative impact on the country's economic growth [14,18]. In this case, the financial well-being of youth becomes one of the determinants of economic growth, or in contradiction, due to the impact and crucial role of youth in economic activities.…”

Section: Introductionmentioning

confidence: 99%

See 1 more Smart Citation

The Impact of Financial Shock, Behavior, and Knowledge on the Financial Fragility of Single Youth

et al. 2022

View full text Add to dashboard Cite

Financial fragility is an important issue in the well-being of individuals. Previous studies have shown that many young people are vulnerable to financial fragility. To add value to previous findings, the issue of financial fragility was focused on single youths in the middle-income group (M40) in urban areas. The objective of the study was to determine the factors influencing the financial fragility of single youth (M40) in urban areas. A quantitative approach using a survey method was applied. The study’s sample consisted of 25–34-year-old single urban youths. Questionnaires were used as research instruments and were distributed online. A total of 374 samples were analyzed using multilevel regression. The results of the analysis show that spending knowledge, financial behavior, saving behavior, and financial shock are the determining factors of financial fragility among M40 single youth in urban areas.

show abstract

Section: Introductionmentioning

confidence: 99%

Section: Introductionmentioning

confidence: 99%

The Impact of Financial Shock, Behavior, and Knowledge on the Financial Fragility of Single Youth

et al. 2022

View full text Add to dashboard Cite

show abstract

“…The literature also documents the effects of financial fragility on economic outcomes. For instance, financial fragility has been found to relate negatively to college savings and employment (Chletsos and Sintos, 2021;Korankye and Kalenkoski, 2021c). Being financially fragile also could impair long-term financial security (Hasler et al, 2018).…”

Section: Student Loan Debt In Retirementmentioning

confidence: 99%

Student loan debt in retirement: identifying the correlates and implications for policy, practice and research

Korankye

2023

View full text Add to dashboard Cite

PurposeResearch shows that having student loan debt in retirement is associated negatively with life satisfaction, suggesting that student debt is a bane of retiree well-being. The rationale for this study is to determine the factors related to owing student debt in retirement, given the adverse effects on the well-being of retired households.Design/methodology/approachThe study utilizes pooled cross-sectional data from the 2015 and 2018 U.S. National Financial Capability Study. The empirical analysis uses a sample of retired Americans aged 65 years and older (N = approximately 8,000) and estimates two-block logistic regression models to examine the effects of demographic, socioeconomic and behavioral factors on student loan indebtedness in retirement. A sensitivity analysis is performed for the subsample of retirees holding student debt for their children's education. Statistical interpretations use odds ratios.FindingsThe findings indicate that financial literacy, age, homeownership and high subjective financial knowledge are associated with a low likelihood of holding student loan debt in retirement. However, being Black, having postsecondary education, having difficulty covering expenses, having financially dependent children, having high-risk preferences and spending more than income increase the likelihood of holding student debt in retirement. The ensuing discussion will assist financial planners and educators identify practical ways to shape decisions regarding student loan debt in retirement.Research limitations/implicationsThe amount of student loan debt is unavailable in the dataset for analysis. One cannot infer causal relations from the study. The factors examined do not reflect the time the student loan was obtained.Originality/valueThe study focuses on the determinants of student loan indebtedness among retired Americans rather than young adults or older adults on the verge of retirement. The paper enhances the understanding of student loan holdings in the decumulation phase of the life cycle. Many US individuals have low retirement savings from which they draw a retirement income. The more the student debt burdens on retired Americans, the greater the likelihood of outliving their resources and experiencing poverty.

show abstract

“…Financial fragility is defined as the situation that the company's balance sheet is going through so that it is exposed to the risks of its inability to keep pace with the demand for financial resources; this means that there is a weakness or financial straits that the company suffers from as a result of weakness in its liquidity and weakness in its ability to repay the debt (Brunetti et al, 2012), This definition indicated that companies need to maintain liquidity permanently to meet daily obligations and face any liquidity deficit that creates a threat to the continuity of the company and its financial stability, From the point of view of (Chletsos , & Andreas , 2021), they mentioned that financial fragility at the macro level reflects the risks of financial instability, while at the micro level it reflects the failure to fulfill the company's obligations towards others and its dependence on refinancing with debt, (Abd & Kazem, 2022) Fifth :Causes of Financial Fragility: There are many reasons for the occurrence of financial fragility. emphasized some of these reasons through his evidence of the occurrence of financial fragility that government interventions can either lead to stability or not.…”

Section: E)mentioning

confidence: 99%

Effect of Financial Independence on Reducing Risk of Financial Fragility

Al-Janabi,

Albander,

Mashkour

2023

J. Professional Business Review

View full text Add to dashboard Cite

Purpose:This research aims to know and measure the impact of financial independence on financial fragility and to provide an applied knowledge framework that shows the relationship between these variables. Theoretical framework: and the research problem was represented in several questions, such as can financial independence reduce the financial fragility of the research sample companies?; and what is the level of financial independence and financial fragility of these companies?. Design/methodology/approach: Financial and statistical methods were relied on using the (SPSS) and (Excel) software. To answer these questions, test hypotheses and analyze the relationship between independent and dependent variables , several conclusions were reached, the most important of which is financial independence when companies reduce their dependence on debt and increase their dependence on internal resources as a main source of financing. Based on the conclusions, a set of recommendations was reached. The most important of which is the attention to restructuring the sources of financing for companies with high financial fragility, which contributes to increasing financial stability and reducing financial risks to a minimum. Findings: The research was based on a sample consisting of (6) industrial companies listed in the Iraqi Stock Exchange for the period from (2011-2020). Research, Practical & Social implications: The importance of the research lies in the fact that it has exploited the concepts of financial independence as it leads to reducing risks and assisting companies in reducing financial risks and reaching the required levels of performance, growth and continuity in a highly complex, unstable and limited environment, as well as contributing to urging companies to reconsider financial resources, and ways to benefit from it, which contributes to reducing costs and risks and increasing profitability. Originality/value: The importance of the current research is highlighted by delving into very important topics for industrial companies, as the concepts of financial fragility and financial independence are of increasing importance in the current era, especially in light of the competitive environment, high costs and difficulty in obtaining financial resources.

show abstract

The effect of financial fragility on employment

Cited by 15 publications

References 48 publications

The Impact of Financial Shock, Behavior, and Knowledge on the Financial Fragility of Single Youth

The Impact of Financial Shock, Behavior, and Knowledge on the Financial Fragility of Single Youth

Student loan debt in retirement: identifying the correlates and implications for policy, practice and research

Effect of Financial Independence on Reducing Risk of Financial Fragility

Contact Info

Product

Resources

About