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 …

"This paper studies strategic asset allocation and consumption choice in the presence of regime switching in asset … the longer their investment horizon, while the optimal allocation to stocks declines as a function of the investment … returns from the dividend yield give rise to a non-monotonic relationship between the investment horizon and the demand for …

"This paper investigates the behavior of short-term real and nominal rates of interest by combining consumption …