The Impact of Aging Population on Household Leverage Ratio
In recent years,the rise in household leverage in China has sparked widespread social concern about the possible impact of an ageing population on household leverage.Theoretical derivations suggest that the proportion of the elderly population raises household leverage.The empirical analysis utilizes data from the China Family Panel Studies(CFPS)and tests that the effect of aging population on household leverage is positive.Further,the mechanism analysis finds that aging leads to new housing demands for households,resulting in a tendency for low-income people to use mortgages to smooth out life-cycle consumption when faced with housing demands and coping with expenses,which in turn increases household debt in China.At the same time,we find that the dual burden of health risks and old-age care faced by households is also a mechanism through which aging leads to an increase in leverage.Moreover,the effect of aging on household leverage is heterogeneous across urban and rural households,differences in the year of schooling of household heads and the process of household miniaturization.
万方数据
维普
