HOME TO MARKET: IMPLICATIONS FOR THE CONSUMPTION TO OUTPUT RATIO

Kellie Forrester

Macroeconomic Dynamics, 2019, vol. 23, issue 1, 448-478

Abstract: The United States' postwar period has seen an increase in aggregate market hours worked, a decline in home production hours, and an increase in the consumption to output ratio. A multisector growth model that allows for an increase in total factor productivity in the market sector relative to the home sector can account for these phenomena. Households shift hours to the more productive market sector and purchase measured market goods in favor of unmeasured home goods. This channel accounts for a quarter of the increase in the consumption to output ratio observed in the data from 1950 to 2007.

Date: 2019
References: Add references at CitEc
Citations: View citations in EconPapers (2)

Downloads: (external link)
https://www.cambridge.org/core/product/identifier/ ... type/journal_article link to article abstract page (text/html)

Related works:
This item may be available elsewhere in EconPapers: Search for items with the same title.

Export reference: BibTeX RIS (EndNote, ProCite, RefMan) HTML/Text

Persistent link: https://EconPapers.repec.org/RePEc:cup:macdyn:v:23:y:2019:i:01:p:448-478_00

Access Statistics for this article

More articles in Macroeconomic Dynamics from Cambridge University Press Cambridge University Press, UPH, Shaftesbury Road, Cambridge CB2 8BS UK.
Bibliographic data for series maintained by Kirk Stebbing ().