TY  - RPRT
        AU  - Bruze, Gustaf
AU  - Hilsløv, Alexander Kjær
AU  - Maibom, Jonas
        TI  - The Long-Run Effects of Individual Debt Relief
        PY  - 2024/Jun/
        PB  - Institute of Labor Economics (IZA)
        CY  - Bonn
        T2  - IZA Discussion Paper
        IS  - 17047
        UR  - https://www.iza.org/publications/dp17047
        AB  - Individuals with extensive debt may be granted debt relief in court. We provide a comprehensive evaluation of the Danish debt relief program with data from court records linked to nationwide register data. Using event-study methods and quasi-random assignment of applicants to court trustees with varying admission rates, we show that debt relief leads to a large increase in earned income, employment, assets, real estate, secured debt, home ownership, and wealth that persists for more than 25 years after a court ruling. The net transition of workers into employment accounts for two thirds of the increase in earned income.
        KW  - household finance
KW  - personal bankruptcy
KW  - debt relief
        ER  -