Transaction Trends -Cost of living pressures for Dutch households

PublicationMacro economy

Analysis of 340,000 Dutch households provides insight into the development of the cost of living for the first time. We examine the extent to which a household's net income is consumed by fixed expenses, making basic expenditures and coping with setbacks difficult.

  • Cost of living has improved because incomes have risen more significantly than fixed expenses

  • A proactive government delayed the increase in fixed expenses and primarily supported the incomes of those with minimum wages, allowing this group to benefit first from improved cost of living

  • Nonetheless, for a portion of benefit recipients, fixed expenses remain so high that setbacks can hardly be managed

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