Because of the restrictive assumptions required to establish the theory of Ricardian equivalence, its relevance in …

luxury goods. Moreover, uncertainty reduces household propensity to invest in mutual funds. These results support the notion … that macroeconomic uncertainty can impact household decisions and have large negative effects on economic outcomes …

risk. Economic theory suggests that when background risk rises, individuals will reduce their exposure to other risks. This … paper presents a test of this theory by examining the effect of medical expenditure risk on the willingness of elderly … Medicare beneficiaries to hold risky assets. We measure exposure to medical expenditure risk by whether an individual is …

Both textbook economics and common sense teach us that the value of household wealth should be related to consumer … in consumption. This paper provides evidence that a surprisingly small fraction of the variation in household net worth …

This paper examines the relationship between household balance sheets, consumer purchases, and expectations. We find … an explicit role for unemployment and for household debt. We find that the model is capable of explaining several …

To what extent does household inequality affect the response of aggregate consumption to aggregate real shocks? We … first review two state-of-the-art papers with household heterogeneity and aggregate uncertainty. They teach us that having a …

of information on household exposures to macroeconomic risk factors - can potentially lead to better macroeconomic … with information on the reallocation of resources within, from, and to the household sector in response to macroeconomic … events. The household sector is both a propagator of shocks to the economy, as wealth is redistributed across households with …