A dynamic consumption function, where consumption in the long run is determined by households' disposable income and … wealth, has been superior to the Euler equation in explaining the development of Norwegian aggregate consumption over several … deregulation and the current international financial crisis. In the current version, long run consumption is homogeneous in income …

The effect of wealth on consumption is an issue of longstanding interest to economists. Analysts believe that … impact of changes in wealth on household consumption and the overall macroeconomy. There is an extensive existing literature …

The effect of wealth on consumption is an issue of longstanding interest to economists. Analysts believe that … impact of changes in wealth on household consumption and the overall macroeconomy. There is an extensive existing literature …

framework for analysing the household flow of funds jointly with consumption. The consumption function incorporates household … interest rates. In a general equilibrium setting, these all have to be endogenised and since households make consumption and …

Over much of the past 25 years, the cycles of house price and consumption growth have been closely synchronised. Three … thereby facilitating higher consumption. And third, that house prices and consumption have tended to be influenced by common … factors. This paper finds that the relationship between house prices and consumption is stronger for younger than older …

We investigate the long run relationship between private consumption, disposable income and wealth approximated by … equity and house price indices for a panel of 15 industrialized countries. Consumption, income and wealth are cointegrated in … idiosyncratic level, a long run equilibrium is detected between consumption and income, i.e. the wealth variable can be excluded …