. We propose a novel consumption-savings model in which a consumer has a well-defined preference ordering over both …, households optimally choose a lumpy profile of memorable goods consumption even in a frictionless world. Using Consumer … cost of consumption fluctuations and conduct an excess-sensitivity test of the consumption response to predictable income …

This paper characterizes heterogeneity of the beliefs of American households about future stock market returns … belief heterogeneity that is puzzling since households can observe the same publicly available information about the stock … imply. Our results also suggest that a substantial part of the reduced form relationship between stock holding and household …

individuals to make saving decisions; do they possess adequate financial literacy, are they informed about the most important … components of saving plans, do they even plan for retirement? This paper shows that financial illiteracy is widespread among the … levels of literacy that many individuals display, very few rely on the help of experts or financial advisors to make saving …

higher saving rate appears to reflect a considerable decline in household debt, with households paying down mortgage debt in … changes in household debt and savings during the 2007 recession. We find that while different segments of the population were …, the crisis' impact appears to have been widespread, affecting large shares of households across all age, income and …

partial substitute for household optimization and that this is still true when households have private in- formation about … planner, who uses tools such as default savings and Social Security to influence the consumption choices of myopic and passive …Resource allocations are jointly determined by the actions of social planners and households. In this paper, we …

This paper estimates a household saving rate equation for India and Korea using long-term time series data for the 1975 …-2010 period, focusing in particular on the impact of the pre-marital sex ratio on the household saving rate. To summarize the main … impact on the household saving rate in both India and Korea, even after controlling for the usual suspects such as the aged …

This paper evaluates theoretical explanations for the propensity of households to increase spending in response to the … arrival of predictable, lump-sum payments, using households in the Nielsen Consumer Panel who received 25 million in randomly …-distributed stimulus payments. The pattern of spending is inconsistent with models in which identical households cycle rapidly through high …

consumption/saving of low-income households for the simple reason their income tax liabilities are relatively small. And social … in consumption/saving responses to policy changes depending on the ages and resource levels of the households in question … alternative fiscal policies on current consumption and saving. Studies to date have examined the response of current consumption …

reducing consumption; goods and leisure are consumed jointly, suggesting their complementarity in household production; and … people's lifetime demand for leisure. The implied small increase in lifetime income and the slight reduction in consumption …The effects on consumption and retirement of characteristics of the life cycle, especially the length of the horizon …

in consumption. This paper provides evidence that a surprisingly small fraction of the variation in household net worth …Both textbook economics and common sense teach us that the value of household wealth should be related to consumer … suggest. An important first step in understanding the consumption-wealth linkage is determining how closely the two variables …