REVIEW OF HOUSEHOLD DEBT ANDFINANCIAL STABILITY RELATIONSHIP CONCEPT

Abstract

Concept of relationship between household debt and financial
stability is reviewed in this article. First, financial stability concept is briefly
introduced. Then relationship between indebtedness level and financial
stability is discussed in general. And finally it is concentrated on describing 
how debt level of household sector is related with financial stability.
Household debt has substantial impact on country’s financial stability.
Excessive borrowing may cause serious systemic problems.