SFB 303 Discussion Paper No. A - 510

Author: Hildenbrand, Werner, and Alois Kneip
Title: Modelling Aggregate Consumption Expenditure and Income Distribution Effects
Abstract: The paper is about the economic modelling of aggregate consumption expenditure with particular emphasis on the distribution effects of income. Under certain assumptions on the evolution over time of the population of households ("structural stability") we shall derive a first order approximation for the change in the aggregate consumption ratio. This approximation allows to analyze whether and how the distribution effect of income affects the aggregate consumption ratio.
JEL-Classification-Number: B41, C14, D12, D31, E21
Creation-Date: 1996
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