Financial Behaviour of Dutch Households: Analysis of the DNB Household Survey 2003

INVESTIGATING THE RELATIONSHIP BETWEEN THE FINANCIAL AND REAL ECONOMY, No. 22, pp. 21-40, BIS Papers, 2005

37 Pages Posted: 11 Feb 2008

See all articles by Peter van Els

Peter van Els

De Nederlandsche Bank

Jan Willem van den End

De Nederlandsche Bank

Maarten van Rooij

De Nederlandsche Bank; Netspar

Abstract

This paper presents an analysis of the financial behaviour of Dutch households on the basis of the DNB Household Survey. The results of this survey provide insight into the backgrounds and consequences of the persistent rise of household debt. The increase in mortgage debt is related to mortgage equity withdrawal. The financial vulnerability of households turns out to have increased, especially the sensitivity to interest rate movements. This contribution also looks into investors' response to the creeping crash on stock markets since 2000. While the majority have largely held on to their portfolios, they have become more cautious. One of the main themes of the survey is Dutch households' attitude towards pensions. The survey reveals that in a great many cases the individual's insight into his or her pension arrangement is deficient, to say the least. Regarding every retrenchment of the current schemes for the 65-plus as an infringement on acquired rights, the majority of the Dutch public is opposed to such measures. They would rather pay a higher premium in order to be able to enjoy the present level of pension benefits.

Keywords: financial vulnerability, surplus-value owner-occupied houses, retirement and pension arrangements

JEL Classification: D12, E21, G21, J26

Suggested Citation

van Els, Peter and van den End, Jan Willem and van Rooij, Maarten, Financial Behaviour of Dutch Households: Analysis of the DNB Household Survey 2003. INVESTIGATING THE RELATIONSHIP BETWEEN THE FINANCIAL AND REAL ECONOMY, No. 22, pp. 21-40, BIS Papers, 2005, Available at SSRN: https://ssrn.com/abstract=1092029

Peter van Els (Contact Author)

De Nederlandsche Bank ( email )

PO Box 98
1000 AB Amsterdam
Amsterdam, 1000 AB
Netherlands

Jan Willem van den End

De Nederlandsche Bank ( email )

PO Box 98
1000 AB Amsterdam
Amsterdam, 1000 AB
Netherlands

Maarten van Rooij

De Nederlandsche Bank ( email )

P.O. Box 98
Amsterdam, 1000 AB
Netherlands

HOME PAGE: http://www.dnb.nl/en/onderzoek-2/onderzoekers/overzicht-persoonlijke-paginas/dnb150127.jsp

Netspar ( email )

P.O. Box 90153
Tilburg, 5000 LE
Netherlands

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