state utility function--utility with a single argument, consumption plus monetized leisure. The monetized leisure model is … that leisure and consumption be substitutes (the cross-derivative of consumption and leisure be negative) and (ii) the … an open question. The rich empirical literature on the "retirement consumption paradox" suggests that the rate is below …

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 …