Consumption is the largest component of GDP. Since the 1950s, the life cycle and the permanent income models have … constituted the main analytical tools to the study of consumption behaviour, both at the micro and at the aggregate level. Since … the literature to estimate preferences is the lack of a ‘consumption function’. A challenge for future research is to use …

Housing wealth is about one half of household net worth, and consumption is a considerable fraction (about two thirds … consumption in the same direction. This observation has led many economists, commentators and policy makers to study how housing … wealth and consumption are linked together. A sizable portion of the comovement between housing wealth and consumption …

We present an intertemporal consumption model of consumer investment in financial literacy. Consumers benefit from such … depreciates over time and has a cost in terms of current consumption, the model determines an optimal investment in literacy. The … aggregate data, we find a strong effect of financial literacy on wealth accumulation and national saving, and also show that …

consumption, investors simultaneously choose how much to save, the portfolio allocation, and the optimal investment in literacy …

income. This finding is consistent with consumption externalities resulting from upward-looking status comparisons. Secondly …

members' private consumption patterns and in turn on their current account positions as a function of who got indebted in the … first place. Theoretically, it builds on an inter-temporal consumption model augmented with household heterogeneity. Low … for low-income groups, who differently from high-income agents borrow to finance current consumption. It follows that …

bywidening top income inequality, rising private savings and compressed consumption rates.Rising corporate profits in an …

In the last decade, China's house prices have skyrocketed along with its continually rising household saving rate. Can … rising house prices be an important contributor to the increase in household saving rate? Using data from an urban household … survey in China, we find that, on average, local house prices do not significantly change household saving rate, regardless …