Carroll, Christopher D.; Slacalek, Jirka; Sommer, Martin - Center for Financial Studies - 2008
-Mankiw models work about equally
well.
JEL Classification: E21, F41
Keywords: Sticky Expectations, Consumption Dynamics … argued that ‘habit formation’ can explain many empirical facts
related to consumption dynamics, including stickiness in … habit formation against alternative models of consumption dynamics,
such as the Campbell{Mankiw model. Ferson and …