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 …

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 …

investigate if the relationship between current and past consumption reflects habits or heterogeneity. Our results confirm the …The purpose of this Paper is to test for the presence of habit formation in consumption decisions using household panel … importance of accounting for fixed effects when analysing intertemporal consumption decisions allowing for time non …

In this paper we analyze the importance of intertemporal non-separabilities for consumption decisions using household … account for the dynamics of consumption in the preferences as well as to control for time invariant unobserved heterogeneity … consumption decisions allowing for time non-separabilities. Once we control for fixed effects and use the adequate set of …