Current Population Survey, the Panel Study of Income Dynamics, the Consumer Expenditure Survey, and the Survey of Consumer … earnings, to disposable income, and, ultimately, to consumption and wealth. We document a continuous and sizable increase in … before 1982, but mitigate its increase thereafter. Taxes and transfers compress the level of income inequality, especially at …

We extend the canonical income process with persistent and transitory risk to shock distributions with left …-skewness and excess kurtosis, to which we refer as higher-order risk. We estimate our extended income process by GMM for household … data from the United States. We find countercyclical variance and procyclical skewness of persistent shocks. All shock …

We investigate cyclicality of variance and skewness of household labor income risk using PSID data. There are five main … findings. First, we find that head's labor income exhibits countercyclical variance and procyclical skewness. Second, the … cyclicality of hourly wages is muted, suggesting that head's labor income risk is mainly coming from the volatility of hours …

We investigate cyclicality of variance and skewness of household labor income risk using PSID data. There are five main … findings. First, we find that head's labor income exhibits countercyclical variance and procyclical skewness. Second, the … cyclicality of hourly wages is muted, suggesting that head's labor income risk is mainly coming from the volatility of hours …

are significantly higher immediately following an income shock and diminish over time, with cumulative MPCs over a year …This paper studies how and why households adjust their spending, saving, and borrowing in response to transitory income …

We use survey evidence on reported spending in hypothetical energy price shock scenarios to study novel features of the … several nonlinearities depending on the sign and magnitude of the energy price shock that are economically relevant, including …' income, saving buffer, financial uncertainty, appetite to consume, and gender of household head. Yet household …

We use survey evidence on reported spending in hypothetical energy price shock scenarios to study novel features of the … energy prices increase compared to price decreases. MPCs are also larger for households with low income and/or saving buffer … subsidies on energy for Belgian low-income households are much more effective in supporting non-energy consumption than the …

marginal propensity to consume is signicantly larger for positive than for negative income shocks. Moreover, we discover that … decline in savings. This result contradicts a prediction from the life-cycle permanent income model with borrowing constraints …'s prospect theory, according to which the combination of income uncertainty and loss aversion can lead households to react more …

This paper empirically investigates the effects of changes in the interest rate as well as transitory income … significant effects of precautionary savings on the consumption-savings decision. As a result of a doubling of transitory income …. -- Consumption-savings decision ; interest rate elasticity of savings ; income uncertainty …

This paper empirically investigates the effects of changes in the interest rate as well as transitory income … significant effects of precautionary savings on the consumption-savings decision. As a result of a doubling of transitory income …