Euler equations, subjective expectations and income shocks
In this paper, we make three substantive contributions: first, we use elicited subjective income expectations to identify the levels of permanent and transitory income shocks in a life-cycle framework; second, we use these shocks to assess whether households' consumption is insulated from them;...
| Main Authors: | , , |
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| Format: | Working paper |
| Published: |
University of Oxford
2017
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