Using transaction-level credit card spending from a leading Chinese commercial bank, we show that consumers reduce their consumption by 34% immediately after the publicity of penalties on a firm. The same consumers do not reduce consumption of non-punished firms, nor do consumers who do not have...

This paper examines the causal effects of air pollution on the household consumption of water and electricity in Singapore. Using the transboundary haze pollution caused by forest fires in Indonesia as an exogenous shock, we find that increases in haze pollutant intensity in the air...

This paper examines whether the housing wealth effect – the consumption change induced by house price appreciation – is dependent upon households' attitudes toward risk. A simple theoretical model is introduced to highlight a negative relationship between the wealth effect and risk aversion....

This study proposes a lifetime utility maximization model, where borrowers choose optimal mortgage bundles including mortgage type, LTV and loan size to maximize their allocation of limited budgets between housing and non-housing consumptions. The model predicts that the mortgage bundles choice...

This paper examines whether the housing wealth effect - the consumption change induced by house price appreciation - is dependent upon households' attitudes toward risk. A simple theoretical model is introduced to highlight a negative relationship between the wealth effect and risk aversion. The...