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 …

Carroll and Kimball (1996) show that the consumption function for an agent with time-separable, isoelastic preferences … always exists a distribution of income risk such that consumption function is not concave in wealth. I also derive suffi … cient conditions guaranteeing that the consumption function is concave if the agent has preferences for late resolution of …

the aggregate consumption to income ratio. By standard intertemporal budget constraint logic, this ratio is linked to … expectations of future income and consumption growth rates. We investigate whether these expectations suffice to explain the shifts … in the consumption-income ratio that occur during disaster periods or whether, on the other hand, consumers become more …

literature on household saving behavior in Japan (with emphasis on the author's own past research) to shed light on whether or … the age structure of the population on the saving rate, the saving behavior of retired households, saving motives, the …

estimate a structural model of life-cycle consumption and credit use in which credit cards can be used for payments …

(before making additional payments). By contrast, debt declined most (so saving rose most) for unconstrained consumers. These …

economies during times of crisis. We find some limited evidence in its favour: if public consumption is reduced in response to a … fiscal crisis (as defined by a high level of debt), private consumption does seem to increase. However the size of the effect … is smaller than that typically found in similar studies. Furthermore, the increase in private consumption is not usually …

, whereas debt declined most (so saving rose most) for unconstrained consumers. More generally, the results suggest that there …

families prefer to buy at an early stage of the cycle all the desired stock of durable goods, in order to smooth consumption of …

stagnation of household consumption during the 1990s and find that the stagnation of household disposable income, the decline in …