Macroeconomic models often invoke consumption "habits" to explain the substantial persistence of macroeconomic … consumption growth. But a large literature has found no evidence of habits in the microeconomic datasets that measure the behavior … aggregate consumption growth reflects consumers' imperfect attention to aggregate shocks. Our proposed degree of (macro …

. We apply the estimator to the 2008 tax rebate and household consumption data, exploiting the randomized timing of … disbursements. We find a considerable degree of heterogeneity in MPCs, which varies by consumption good, and provide evidence on … results suggest that the partial equilibrium consumption response to the stimulus was twice as large as what is implied by …

We study the cyclical dynamics of consumption in the euro area (EA) and the large EA countries by distinguishing … cross-country heterogeneity in how different factors (including durable-specific ones) explain consumption; (iii) the … strength of spillovers from durable to nondurable consumption, as predicted by theory, is empirically correlated with how much …

modelling framework for analysing the household flow of funds jointly with consumption.  The consumption function incorporates … consumption and housing purchase decisions jointly with portfolio decisions, there is much to be gained in modelling a household …

recent substantial rise (2008-2011) can be interpreted using a parsimonious buffer stock model of consumption in the presence …

section, attention was focused on the changes in the two components of aggre-gate demand: consumption and investment …

functions with a habit then gives rise to a puzzle of consumption volatility in place of the asset pricing puzzles when agents … can choose consumption and labor optimally in response to more fundamental shocks. We show that the consumption reaction … to technology shocks are too small by an order of magnitude when a utility includes a consumption habit. Moreover, once a …

We extend the standard textbook search and matching model by introducing deep habits in consumption. The cyclical … being 20 times more volatile than consumption. Vacancies display a hump-shaped response to technology shocks as well as …

The Consumer Expenditure Survey (CEX) offers the most comprehensive consumption data at the consumer level for the … United States. Several previous studies have shown a large gap between per-capita consumption from the CEX and the aggregate … Personal Consumption Expenditure (PCE) series. While previous research has focused on consumption levels, we focus on the …