A widening gap between rich and poor has been extensively documented for many countries and economies. This column explores how the wealth gap affects output and consumption changes in response to aggregate shocks. Lower- and higher-wealth households face different borrowing constraints, and have different marginal propensities to consume. Different levels of access to financial liquidity thus play a major role in the overall consumption dynamics during an economic downturn.
Gene Amromin, Mariacristina De Nardi, Karl Schulze, 04 January 2018
Most Read
-
Krugman
-
Terzi
-
Goldstein, Levy Yeyati, Sartorio
-
Aghion, Artus, Oliu-Barton, Pradelski
-
Daly, Chankova
-
Eichengreen, O'Rourke
-
Burgess, Sievertsen
-
Mitze, Kosfeld, Rode, Wälde
-
Heldring, Robinson
-
Eichengreen
Blogs&Reviews
-
Caffarra, Crawford, Ryan
-
Hebous
-
Gylfason
-
Beetsma, Schuknecht
-
Bouwens
Vox eBooks
Don't Miss
Arezki, Djankov, Panizza
Bartsch, Bénassy-Quéré, Corsetti, Debrun
Scheuer
Events
-
22 - 22 April 2021 / online / SUERF and UniCredit Foundation
-
22 - 22 April 2021 / Online /
-
22 - 22 April 2021 / Online /
-
23 - 23 April 2021 / Online /
-
23 - 23 April 2021 / Online /
CEPR Policy Research
-
Gobillon, Solignac
-
Giglio, Maggiori, Stroebel, Weber
-
Summers, Fatás
-
Favero, Galasso
-
Butt, Churm, McMahon, Morotz, Schanz
-
Eichengreen, Avgouleas, Poiares Maduro, Panizza, Portes, Weder di Mauro, Wyplosz, Zettelmeyer
-
Baldwin, Beck, Bénassy-Quéré, Blanchard, Corsetti, De Grauwe, den Haan, Giavazzi, Gros, Kalemli-Ozcan, Micossi, Papaioannou, Pesenti, Pissarides , Tabellini, Weder di Mauro
-
Baldwin, Nakatomi
-
Thimann
-
Goodhart, Perotti