heterogeneous income profiles. -- Consumption ; inequality ; risk ; incomplete markets ; heterogeneity … transitory shocks? The implications for consumption and welfare depend crucially on the answer to this question. We use CEX … repeated cross-section data on consumption and income to decompose idiosyncratic changes in income into predictable life …

transitory shocks? The implications for consumption and welfare depend crucially on the answer to this question. We use CEX … repeated cross-section data on consumption and income to decompose idiosyncratic changes in income into predictable life … evolution of consumption and income inequality well and delivers two main results. First, we find that permanent changes in …

transitory shocks? The implications for consumption and welfare depend crucially on the answer to this question. We use CEX … repeated cross-section data on consumption and income to decompose idiosyncratic changes in income into predictable life … evolution of consumption and income inequality well and delivers two main results. First, we find that permanent changes in …

response to the forecasts, extrapolate to expectations about their personal economic circumstances and adjust their consumption … exposure to macroeconomic risk, consistent with sticky information models in which people are inattentive, but understand how …

response to the forecasts, extrapolate to expectations about their personal economic circumstances and adjust their consumption … exposure to macroeconomic risk, consistent with sticky information models in which people are inattentive, but understand how …

socially desirable. I consider an environment with dispersed information and two aggregate shocks: a productivity shock and a … "news shock" which affects aggregate beliefs. Neither the central bank nor individual agents can distinguish the two shocks …

socially desirable. I consider an environment with dispersed information and two aggregate shocks: a productivity shock and a …