The deterioration of the household economic situation is usually accompanied by a series of characteristics, which can be reflected in the reduction of income, changes in consumption patterns, deterioration of the balance sheet, etc
1.Declining income: A decrease in income in the household's main economy**, which may be due to job loss, wage cuts, business failure, or other reasons.
2.Lower levels of consumption: In response to declining incomes, households began to cut back on non-essential items and buy only basic necessities, resulting in a reduced quality of life.
3.Reduced savings: Households have to dip into their savings in order to maintain their daily expenses, resulting in a decrease in their savings balance or even negative savings.
4.Increased debt: To meet short-term funding needs, households may borrow more, leading to higher debt levels and increased repayment pressure.
5.Shrinking asset value: Household-owned assets (e.g., real estate, bonds, etc.) may depreciate due to market volatility or economic recession.
6.Reduced or halted investment: Long-term financial growth is hampered by a lack of funds that prevent households from making new investments or are forced to invest in products they already have.
7.Limited spending on education: Families may not be able to afford their children's education, resulting in limited educational opportunities.
8.Increased health risk: Family members are at increased health risk due to lack of sufficient funds to purchase health insurance or pay for medical expenses.
9.Shrinking social networks: Financial hardship can cause families to withdraw from certain social activities or organizations, and social networks and support systems shrink.
10.Increased psychological pressure: Financial difficulties bring psychological pressure and emotional distress to family members, affecting family relationships and quality of life.
Identifying these characteristics can help to take timely measures to improve the economic situation of households and prevent further economic declines.