Effects of the Great Recession on Immigrants’ Household Consumption in Spain

The massive influx of immigrants has played an essential role in the high growth of the Spanish economy during the period 1997–2007. The severe economic crisis that began in 2008 is characterized by high unemployment and reductions in consumption by households. This article uses the Household Budget Survey to empirically estimate changes in the consumption patterns of households as a result of the economic crisis, analyzing whether differential impacts exist according to the nationality of the household’s main breadwinner. Our results show that households with non-Spanish main breadwinners have lower levels of pre-crisis consumption, greater decrease in consumption because of the crisis and greater inequality in consumption levels.

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