We study consumption heterogeneity over the business cycle. Using household panel data from 1984 to 2010 in the US we … sums to about 1% of yearly consumption. This is due to the structure of comovements between the different parts of the … consumption distribution, in particular the tails are highly volatile and negatively related to each other. We also find that …

We study how the introduction of consumption externalities affects the efficiency of the dynamic equilibrium in an … economy displaying dynastic altruism. When the bequest motive is inoperative consumption externalities affect the … intertemporal margin between young and old consumption and thus modify the intertemporal path of consumption and capital. The …

In this paper, we show that consumption externalities are a source of equilibrium indeterminacy in a growth model with … endogenous labor supply. In particular, when the marginal rate of substitution between own consumption and the others …' consumption is constant along the equilibrium path, the equilibrium does not exhibit indeterminacy. In contrast, when that …