We use a new panel dataset of credit card accounts to analyze how consumer responded to the 2001 Federal income tax … rebates. We estimate the monthly response of credit card payments, spending, and debt, exploiting the unique, randomized … their credit card payments and thereby paying down debt. But soon afterwards their spending increased, counter to the …

of labor income uncertainty and credit constraints. Saving in the model is affected by the gap between target and actual … wealth, with the target determined by credit conditions and uncertainty. An estimated structural version of the model … suggests that increased credit availability accounts for most of the long-term saving decline, while fluctuations in wealth and …

widespread redemption demands during the days following the Lehman bankruptcy contributed to a freeze in the credit markets. In … substantially reduce the utility of MMFs for many investors, which could, in turn, affect the availability of short term credit. The …