In this paper, we employ a unique tax experiment and dataset in a highly salient tax rate environment to examine consumer response to complex and uncertain tax reforms. Tax reforms raise some fundamental questions in public finance: How does consumption respond to tax change? How is the tax...

We show individuals investments chase stock index returns and are financed by foregoing consumption, even after controlling for individual-account level portfolio income effects and other high dimensional fixed effects. This effect only exists for positive stock index returns with no effects for...

We investigate the relationship between social interaction and household finances using data from the British Household Panel Survey. We contribute to the existing literature by exploring the relationship between a wide range of aspects of household finances and social interaction, rather than...