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Household debt in relation to household income.

Household debt in relation to household income.

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This paper uses social structures of accumulation theory in combination with Ernesto Laclau’s discourse theory in order to analyze the institutional mechanisms that sustained the long economic expansion of the Spanish economy between 1995 and 2008. Productive deficiencies endogenously gave way to several trends that, despite displaying a highly con...

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... Spanish households had recourse to increasing amounts of debt during the whole period, partly in order to compensate for widespread wage stagnation, and partly due to their increasing needs of further liquidity to keep on acquiring new housing properties (see figure 3). The relation between the housing bubble and households' increasing leverage is twofold. ...

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