functional form assumptions in previous PW applications. The estimated sizes of income underreporting in absolute monetary … amounts are almost constant over reported income levels, whereas previous studies have assumed that the underreporting is … proportional to income. …

harmonized data set collecting detailed information on wealth holdings, consumption and income at the household level. Since the …

This paper studies how and why consumers respond to unexpected, transitory income shocks. In a randomized control trial …, I elicit marginal propensities to consume (MPC) out of different hypothetical income shock scenarios, varying the … payment mode, the shock size, and the source of income. The results show respondents exhibit a higher MPC when exposed to a …

This paper estimates income tax underreporting for the case of Germany, by income category and along the income … income from self-employment and from rent and lease in the survey is higher than in the tax data, increasing in upper … quintiles. Income underreporting to the tax authorities may be one of several possible explanations for these descriptive …

This paper examines whether biased income expectations due to overconfidence lead to higher levels of debt-taking. In a … lab experiment, participants can purchase goods by borrowing against their future income. We exogenously manipulate income … expectations by letting income depend on relative performance in hard and easy quiz tasks. We successfully generate biased income …