Despite the rise in recent decades in the average income level, economic insecurity has also increased. This paradoxical outcome is true for both developing and developed countries. Increasing economic insecurity is harmful for human welfare for several reasons. Job and income insecurity directly affect the material and psychological well-being of people. Economic volatility and high uncertainty also tend to exert negative influence on productive investment, thereby hurting long-term development.
In view of the above, it is not surprising that there is a growing need among both scholars and policy makers to have a better understanding about the rising problem of economic insecurity and the steps that may be taken to mitigate it.
This book is an important step forward in meeting this need. Written by leading experts this book sheds light on the causes of economic insecurity and how better functioning financial systems, more effective macroeconomic policies and extended micro-financing schemes could mitigate the degree of economic insecurity in developing countries and overcome many of its negative consequences.