This paper undertakes a comparison exercise to disentangle what drives the opposite findings regarding the effect of house prices on consumption documented in two papers using the same data set for the UK. On the one hand, Campbell and Cocco (2007) find that old owners are the most benefited by...

type="main" xml:id="ecca12098-abs-0001" xml:lang="en" <p>This paper revives the debate in the literature about the relationship between house prices and consumption by exploring conflicting results in the UK. Campbell and Cocco (<link href="#ecca12098-bib-0008"/>) find that old owners benefit most from a house price increase and...</p>

We show analytically that the credibility problem which has affected the European Stability Pact originates from the insufficient distinction between two reasons for having binding fiscal constraints. The first reason deals with the governments’ tendency to neglect the effects of their fiscal...

pt. 1. Understanding cycles and growth -- pt. 2. Uncertainty and information in business cycle models -- pt. 3. Formal models of the business cycle -- pt. 4. Empirical and institutional factors in cycles and growth.

"Cycles, Growth and the Great Recession is a collection of papers that assess the nature and role of the business cycle in contemporary economies. These assessments are made in the context of the financial market instability that distinguishes the Great Recession from previous post-war...