This paper presents the impact of decreasing MFI interest rates on household deposits and saving goals in 12 Monetary … Union member countries in the years 2009-2015. It analyses tendencies in household deposits (overnight, with agreed maturity … and redeemable at notice), and attempts to link them with certain household saving motives (target, retirement and …

, observed in the Household Finance and Consumption Survey (HFCS) for these countries. We then show that the heterogeneity in … household finances implies that responses of consumption to changes in the real interest rate and in house prices differ … substantially across countries, and within countries by household characteristics such as age, housing tenure, and asset positions …

countries. We estimate the MPC based on a cross-country harmonized household level dataset which combines surveys on wealth …

, observed in the Household Finance and Consumption Survey (HFCS) for these countries. We then show that the heterogeneity in … household finances implies that responses of consumption to changes in the real interest rate and in house prices differ … substantially across countries, and within countries by household characteristics such as age, housing tenure, and asset positions …