This paper quantifies the extent of heterogeneity in consumption responses to changes in real interest rates and house prices in the four largest economies in the euro area: France, Germany, Italy, and Spain. We first calibrate a life-cycle incomplete-markets model with a liquid financial asset...

This paper quantifies the extent of heterogeneity in consumption responses to changes in real interest rates and house prices in the four largest economies in the euro area: France, Germany, Italy, and Spain. We first calibrate a life-cycle incomplete-markets model with a financial asset and...

We analyze the novel transactional card expenditure data for Germany and Austria provided by Fable Data. We describe key features of the data in terms of the coverage of expenditure items, payment channels, and the distribution of expenditures across regions and time. We highlight strengths and...

We analyze the novel transactional card expenditure data for Germany and Austria provided by Fable Data. We describe key features of the data in terms of the coverage of expenditure items, payment channels, and the distribution of expenditures across regions and time. We highlight strengths and...

Capital deepening may affect the evolution of the wage differential between skilled and unskilled workers differently in countries with different labor market institutions. If labor market institutions raise the relative wage of unskilled workers in Germany, firms have incentives to invest...

We use novel transaction-level card expenditure data to estimate the effect of the temporary value-added tax (VAT) cut in Germany 2020. We find that the annualized growth rate of expenditures for durables increased by 6 percentage points (pp) during the tax cut, with a particularly strong...

We analyze the novel transactional card expenditure data for Germany and Austria provided by Fable Data. We describe key features of the data in terms of the coverage of expenditure items, payment channels, and the distribution of expenditures across regions and time. We highlight strengths and...

We use novel transaction-level card expenditure data to estimate the effect of the temporary value-added tax (VAT) cut in Germany 2020. We find that the annualized growth rate of expenditures for durables increased by 6 percentage points (pp) during the tax cut, with a particularly strong...