Consumers Respond More to Negative News than Positive Info

Antonella Tutino

Economic Letter, 2018, vol. 13, issue 7, 4 pages

Abstract: Consumers, forced to navigate a constant stream of economic information, are often challenged to sort through details and respond to new material. Experiments suggest that people react more forcefully to negative income shocks than to positive ones. Size also matters: Reaction to small shocks is slower relative to the response to big shocks participation-rate decline.

Date: 2018
References: Add references at CitEc
Citations:

Downloads: (external link)
https://fraser.stlouisfed.org/title/6362/item/607747 Full Text (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:fip:feddel:00062

Ordering information: This journal article can be ordered from

Access Statistics for this article

More articles in Economic Letter from Federal Reserve Bank of Dallas Contact information at EDIRC.
Bibliographic data for series maintained by Amy Chapman ().