VARIATION OF HOUSEHOLD CONSUMPTION UNDER DEFLATION
大野, 友輔OHNO, Yusuke
562015-03-24 , 法政大学大学院理工学・工学研究科
A household final consumption expenditure function based on the life-cycle permanent hypothesis is estimated by the non-linear instrumental variable method. By examining the consumption path based on the estimate equilibrium consumption propensity, it is found that household consumption is negatively affected by price conditions particularly when inflationary environments switch to deflationary ones.