across states shows that the rise in top income shares can explain almost all of the accumulation of household debt held as a … rich has been linked to the substantial dissaving and large accumulation of debt by the non-rich. Analysis using variation … financial asset by the household sector. Since the Great Recession, the saving glut of the rich has been financing government …

We examine the effects of monetary policy on household self-assessed financial stress and durable consumption using … panel data from eighteen annual waves of the British Household Panel Survey. For identification, we exploit random variation … in household exposure to interest rates generated by the random timing of household interview dates with respect to …

a given net worth with values of assets and debt that are financially certain and risk-free, a greater assetdebt ratio … inattention. Moreover, biased subjects are less patient, less debt averse, more likely to increase spending out of unexpected …

This paper studies the secular increase in U.S. household debt and its relation to growing income inequality and … financial fragility. We exploit a new household-level dataset that covers the joint distributions of debt, income, and wealth in … increase in U.S. household debt between the 1970s and 2007. The resulting debt increase made balance sheets more sensitive to …

consumption in two different samples and two measures of household debt to provide a comprehensive analysis of the topic. We used …We have investigated the influence of fiscal instruments, notably taxes on income and government spending, on household … government spending or reduced taxes, in the presence of high indebtedness, actually discourage household consumption compared to …

recent subprime mortgage crisis. Why did the financial markets fail to anticipate the recent debt crisis, despite the large … capital gain, the return on capital and the interest rate. An optimal debt ratio is derived where the drift is probabilistic …, does not depend upon the actual debt/net worth per se. Instead it increases in proportion to the difference between the …

portfolios, observed in the Household Finance and Consumption Survey (HFCS) for these countries. We then show that the … heterogeneity in household finances implies that responses of consumption to changes in the real interest rate and in house prices …

to consume (MPCs). Our main contribution is to document how MPCs vary with household characteristics and prize size, and …

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 …