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 …

Productive consumption enables the satisfaction of current needs and simultaneously increases the productive potential … of labour. From the perspective of growth theory, the productive-consumption hypothesis is of fundamental interest … because it modifies the harsh intertemporal consumption trade-off traditionally assumed. Two fundamental possibilities for …

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 …

We explore income and consumption smoothing patterns among European Community (EC) countries and among OECD countries … by corporate saving. At the three year differencing frequency only 25 percent of shocks to GDP are smoothed, mainly via … government lending and borrowing. In the absence of alternative income and consumption smoothing mechanisms, the restrictions on …

the Belgian component of the Household Finance and Consumption Survey. We find that the fraction of hand …