Replication data for: Why Don't Households Smooth Consumption? Evidence from a $25 Million Experiment
- Parker, Jonathan A.
AbstractThis paper evaluates theoretical explanations for the propensity of households to increase spending in response to the arrival of predictable, lump-sum payments, using households in the Nielsen Consumer Panel who received $25 million in randomly distributed stimulus payments. The pattern of spending is inconsistent with models in which identical households cycle rapidly through high and low-response states as they manage liquidity, but is instead highly predictable by income years before the payment. Spending responses are unrelated to expectation errors, almost unrelated to crude measures of procrastination and self-control, significantly related to sophistication and planning, and highly related to impatience.
Is supplement to
DOI: 10.1257/mac.20150331 (Text)
Parker, Jonathan A. “Why Don’t Households Smooth Consumption? Evidence from a $25 Million Experiment.” American Economic Journal: Macroeconomics 9, no. 4 (October 2017): 153–83. https://doi.org/10.1257/mac.20150331.
- ID: 10.1257/mac.20150331 (DOI)
Update Metadata: 2020-05-18 | Issue Number: 2 | Registration Date: 2019-12-07