In this paper we examine the link between wage inequality and consumption inequality using a life cycle model that … incorporates household consumption and family labour supply decisions. We derive analytical expressions based on approximations for … the dynamics of consumption, hours, and earnings of two earners in the presence of correlated wage shocks, non …

Two remarkable features of the Australian economy over recent years have been strong growth in private consumption … expenditure and household wealth. This paper examines the relationship between consumption and wealth in an effort to better … understand aggregate consumption behaviour. We find a reasonably robust steady-state relationship between non …

This paper addresses the question of how changes in stock market wealth and housing wealth affect consumption … stock market wealth. We estimate the link between consumption and the components of wealth using panel-data estimation … housing wealth and stock market wealth have a significant effect on Australian consumption. We estimate that a permanent …

consumption and real GDP. In line with BNW, we find that confidence shocks explain a large share of the variance in real economic … contribution to business cycle fluctuations is reduced, confirming the global dimension of confidence shocks. Overall, our evidence … shows that confidence shocks play some role in business cycle fluctuations. At the same time, we show that confidence shocks …

This paper analyses empirically how cross-border consumption varies across product and services categories and across …; it analyses the cross-border consumption behaviour of cross-border commuter households residing in Belgium, France and …, reflecting about 17% of their gross annual income from Luxembourg and contributing about 10% to total household final consumption …

finance and consumption. Given the breadth of the topic, it focuses on issues that are particularly relevant for policy …, namely i) wealth effects on consumption, ii) housing prices and household indebtedness, iii) retirement income, consumption … and pension reforms, iv) access to credit and credit constraints, v) financial innovation, consumption smoothing and …