Does consumption respond to predicted increases in cash-hand availability?: Evidence from the Italian "severance pay"
Margherita Borella,
Elsa Fornero and
Mariacristina Rossi
Economics Letters, 2009, vol. 105, issue 1, 127-129
Abstract:
We examine whether Italian household consumption exhibits excess sensitivity to "severance pay", a sizable lump-sum that workers receive at job termination. We find no evidence of excess sensitivity of non-durable expenditure to this anticipated cash-in-hand change.
Keywords: Life-cycle; Euler; equation; Excess; sensitivity; Severance; pay (search for similar items in EconPapers)
Date: 2009
References: View references in EconPapers View complete reference list from CitEc
Citations: View citations in EconPapers (7)
Downloads: (external link)
http://www.sciencedirect.com/science/article/pii/S0165-1765(09)00214-6
Full text for ScienceDirect subscribers only
Related works:
Working Paper: Does Consumption Respond to Predicted Increases in Cash-on-hand Availability? Evidence from the Italian “Severance Pay” (2007) 
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:eee:ecolet:v:105:y:2009:i:1:p:127-129
Access Statistics for this article
Economics Letters is currently edited by Economics Letters Editorial Office
More articles in Economics Letters from Elsevier
Bibliographic data for series maintained by Catherine Liu ().