Using survey data, I simulate the counterfactual impact of the Chilean policies during the pandemic on household consumption. I find that aggregate consumption would have fallen by 16.7 percent in the absence of public transfers and a quarantine flexibilization policy. Consumption would still...

Economic theory predicts that borrowers sort themselves in different loan contracts according to their risk and preferences, with some consumers becoming credit constrained and without access to debt. As a middle income country, Chile has a consumer loan market with many lender types (Banks,...