-separable utility functions …

the current level of consumption. The kinks in the curves imply that the utility function is not differentiable everywhere …

construct an alternative business-cycle model capturing these two features by adding two assumptions to a money-in-the-utility …-function model: the labor market is subject to matching frictions, and real wealth enters the utility function. These assumptions … which inflation is fixed and not determined by a forward-looking Phillips curve. With wealth in the utility, the Euler …

We show how to recover the money-metric utility function, which converts income at one point in time into equivalent …-metric utility for every matched income level. We apply our method to household consumption survey data from the United Kingdom from …