In this paper we study household purchase behaviour of storable food products. An inventory model is developed in which the household chooses an optimal stock level of the product. Storage of the product is costly, there is a fixed cost per purchase occasion, and the market price is sometimes...

Official estimates of housing benefit take-up rates suggest that up to two million families in the United Kingdom ma y not be receiving the help with their housing costs to which they ar e entitled. The authors' interest in the take-up of means tested bene fits is therefore motivated by two...

This paper is concerned with the empirical modeling of domestic demand for energy in the United Kingdom at the level of the individual household. A two-stage budgeting model of household demand for energy conditional on durable ownership is developed. At the first stage, income is allocated...

Optimal tax rules are used to evaluate the optimality of taxation for lone mothers in Germany and Britain. The theoretical model is combined with elasticities derived from the structural estimation of lone mothers' labour supply. For both countries we do not find that in-work credits with...

This paper examines the application of count data models to firm level panel data on technological innovations. The model the authors propose exhibits dynamic feedback and unobserved heterogeneity. We develop a fixed effects estimator that generalizes the standard Poisson and negative binomial...

The exact measurement of the welfare costs of tax and price reform requires a detailed knowledge of individual preferences. Typically, first-order approximations of welfare costs are calculated avoiding detailed knowledge of substitution effects. The authors derive second-order approximations...

This paper studies the paths from inequality in earnings to inequality in household consumption. We show that careful study of the evolution of the variances and covariances of earnings and consumption within cohorts across time can identify permanent and transitory shocks. We present an...