The budget constraint requires that, eventually, consumption must adjust fully to any permanent shock to income …

face uninsurable labour income risk. Idiosyncratic uncertainty about future labour income reduces the marginal propensity … to consume out of financial wealth and raises the effective rate of discount in the aggregate consumption Euler equation …

consumption decisions under risk assuming a prioritarian social welfare function. Under a standard assumption about the utility … function (i.e., decreasing absolute risk aversion), there is always more current consumption under ex ante prioritarianism than …Most economic problems combining risk and equity have been studied under utilitarianism. As an alternative, we study …

Although consumption expenditure data is crucial for assessing the level of peoples welfare and calculating important …, we experiment with three approaches to predict consumption expenditure and poverty at household and aggregate level as … simpler alternatives to using consumption expenditure. The idea is not to use these alternatives as a substitute for …

Part I of this chapter briefly reviews the arguments for using consumption rather than income as a measure of living … standards and for using it to measure poverty and inequality. It goes on to discuss the principal uses to which consumption data … other important policy issues that can be illuminated using consumption data. Thereafter, Part I reviews some of the …

We measure the response of household consumption of different income groups to social spending during the 2002 …

This paper studies the empirical relationship between consumption and saving under two different sources of uncertainty …: financial risk and environmental risk. The analysis is carried out using time series data for six advanced economies in the …

The combination of credit constraints and indivisible consumption goods may induce some risk-averse individuals to … those likely to be credit-onstrained. This is consistent with credit-constrained, risk-averse agents gambling to convexify …