Heterogeneity in Intra-monthly Consumption Patterns, Self-Control, and Savings at Retirement
AbstractUsing data from the Continuing Survey of Food Intake by Individuals, this paper describes the shape of consumption profiles over the month for Social Security benefit recipients that have saved different amounts for retirement. Individuals with income mostly made up of Social Security and savings smooth consumption over the pay period, while individuals without savings consume 25 percent fewer calories the week before they receive checks relative to the week afterwards. The findings for individuals without savings, who comprise about a fourth of our sample, are inconsistent with the standard Life Cycle- Permanent Income Hypothesis but are consistent with hyperbolic discounting. (JEL D14, E21, J26)
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Bibliographic InfoArticle provided by American Economic Association in its journal American Economic Journal: Economic Policy.
Volume (Year): 1 (2009)
Issue (Month): 2 (August)
Other versions of this item:
- Giovanni Mastrobuoni & Matthew Weinberg, 2007. "Heterogeneity in Intra-Monthly Consumption Patterns, Self-Control, and Savings at Retirement," Carlo Alberto Notebooks 36, Collegio Carlo Alberto.
- Giovanni Mastrobuoni & Matthew Weinberg, 2007. "Heterogeneity in Intra-Monthly Consumption Patterns, Self-Control, and Savings at Retirement," Working Papers 137mastrobuoni.pdf, Princeton University, Department of Economics, Center for Economic Policy Studies..
- Giovanni Mastrobuoni & Matthew Weinberg, 2007. "Heterogeneity in Intra-Monthly Consumption. Patterns, Self-Control, and Savings at Retirement," CeRP Working Papers 57, Center for Research on Pensions and Welfare Policies, Turin (Italy).
- D14 - Microeconomics - - Household Behavior - - - Personal Finance
- E21 - Macroeconomics and Monetary Economics - - Macroeconomics: Consumption, Saving, Production, Employment, and Investment - - - Consumption; Saving; Wealth
- J26 - Labor and Demographic Economics - - Demand and Supply of Labor - - - Retirement; Retirement Policies
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