aggregate private consumption. We find the effects to be economically relevant, especially when the lower bound is binding …

, income and consumption. We use panel regressions and an instrumental variable approach. First, our panel-based MPC estimates … the reaction to losses versus gains. Fourth, higher MPC is obtained for the two main consumption expenditure categories …. Fifth, we find evidences that housing prices shock decreases consumption inequality while financial wealth shocks have a …

We study the cyclical dynamics of consumption in the euro area (EA) and the large EA countries by distinguishing … cross-country heterogeneity in how different factors (including durable-specific ones) explain consumption; (iii) the … strength of spillovers from durable to nondurable consumption, as predicted by theory, is empirically correlated with how much …

loss. We find that an unexpected job loss leads to a negative consumption response, while this effect is muted for workers … with ex-ante job loss expectations - consistent with the Permanent Income Hypothesis. The negative consumption response to … factor of the consumption response to a job loss. At the same time, we do not find a positive consumption response of workers …

-44 year-old winning; (iii) losses were quite uniform across consumption quantiles because rigid rents served as a hedge for …