Consumption Heterogeneity: Micro Drivers and Macro Implications

• 成果类型: Article
• 署名作者: Crawley, Edmund; Kuchler, Andreas
• 署名单位: Federal Reserve System - USA; Federal Reserve System Board of Governors
• 刊物名称: AMERICAN ECONOMIC JOURNAL-MACROECONOMICS
• ISSN/ISSBN: 1945-7707
• DOI: 10.1257/mac.20200352
• 发表日期: 2023
• 页码: 314-341
• 关键词: anticipated income changes; household consumption; fiscal-policy; redistribution; WEALTH; debt

摘要

We document heterogeneity in the marginal propensity to consume (MPC) across household characteristics relevant to understanding heterogeneous agent models and monetary policy transmission. We find a strong negative relationship between household liquid wealth and MPC. We show that household liquid wealth predicts MPC closely for every other household characteristic we look at. We use a new empirical method that overcomes sources of bias found in the existing literature, along with administrative data from Denmark that allow us to identify heterogeneous behavior. We use our results to analyze monetary policy transmission mechanisms in both Denmark and the United States.