In an overlapping generations maximization framework with consumers, whose information on uncertain future income … realizations is front loaded, a closed form aggregate consumption function with CRRA preferences is derived. To have a closed form … life-time wealth and then the optimal consumption path. The derived model captures precautionary saving, which is dependent …

paths in medical expenses - can fully account for the steeper declines in nondurable consumption in the UK compared to the …

able to take into account consumption dynamics. In the model, households derive utility from consumption, and they relate … their purchase behavior to consumption planning. We illustrate our model for yogurt purchases, and show that our model …

We model consumption and labor supply behavior of a couple in a non-cooperative setting. Using minimal assumptions, we …

Most of the empirical literature on consumption behaviour over the last decades has focused on estimating Euler … policy relevant issues. Alternatively, many papers have proposed using the consumption function to forecast behaviour. This … paper follows in this tradition, by deriving an analytical consumption function in the presence of intertemporal non …

In this paper we examine the link between wage inequality and consumption inequality using a life cycle model that … incorporates household consumption and family labour supply decisions. We derive analytical expressions based on approximations for … the dynamics of consumption, hours, and earnings of two earners in the presence of correlated wage shocks, non …

This paper finds declining consumption expenditure between paydays, for a typical household in the working population …

on how many hours to work with obvious consequences for the household budget. We therefore model consumption and labor …