Empirical proxies for permanent shocks to durables consumption growth are shown to generate strong pricing implications for both one-period and long-run risk return tradeoff in a cross-section of test assets. This factor is identified as an additional source of consumption risk in a structural...

Monitoring of poverty indexes and structure of household expenditures is one of diagnostic and warning tool for social politics. Well-being or poverty of selected households’ groups can be illustrated not only by mentioned categories, but also by possession of consumer durables. Thus, there is...