To maximize their impact, socially responsible households can invest responsibly (SRI), consume (SRC), or do both. The key question of this paper is, which mix SRI and SRC leads to a desired impact with the lowest loss utility for households. In closed micro-economic model, we show that both strategies yield symmetric proportional behavior. For individual household, however, one strategy domina...

This paper shows that the products and prices offered in markets are correlated with local income?specific tastes. To quantify welfare impact of this variation, I calculate price indexes micro?founded by a model non?homothetic demand over thousands grocery products. These reveal large differences how wealthy poor households perceive choice sets available cities. Relative to low?income household...

Preferences over wealth are a channel to explain why households in the aggregate less responsive when real interest rates fall. Following such preferences, they save more than would be optimal standard model. However, little is known about preferences empirically. We run an intentionally simple lab experiment on intertemporal spending and saving decisions with 180 students. Under positive disco...

Over the period 2016–2021 Australia's National Electricity Market (NEM) experienced an investment supercycle comprising 24,000 MW of renewables. One more intriguing aspects was a partial shift decision-making from utility boardrooms to households – rooftop solar PV comprised 8000 total. In NEM regions such as Queensland, take-up rates have now reached 41.8% households, currently highest rate in...

The testable implication of the complete risk-sharing hypothesis depends on what is assumed on households' relative risk aversion (RRA) coefficient. We therefore use a hyperbolic absolute risk aversion (HARA) utility function, which includes increasing, constant, and decreasing RRA as special cases, to test this hypothesis. Using household level total non-durable consumption data from Indian vi...

A logit model is used to estimate provider choice from six types by malaria patients in rural Nepal. Patient characteristics that influence choice include travel costs, income category, household size, gender, and severity of malaria. Income effects are introduced by assuming the marginal utility of money is a step function of expenditures on the numeraire. This method of incorporating income e...

The goal of this paper is to provide a comprehensive empirical analysis of majority rule and Tiebout sorting within a system of local jurisdictions. The idea behind the estimation procedure is to investigate whether observed levels of public expenditures satisfy necessary conditions implied by majority rule in a general equilibrium model of residential choice. The estimator controls for observe...

this study focused on the income generating capacity of farm family’s own resources and examined the vulnerability to financial risk among the remote and peri-urban farming systems of imo state. primary data was collected using the farming and rural systems approach to randomly select and interview 120 households. descriptive statistics and mann whitney test were used in assessing between group...

Motivated by the success of internal habit formation preferences in explaining asset pricing puzzles, we introduce these preferences in a life-cycle model of consumption and portfolio choice with liquidity constraints, undiversifiable labor income risk and stock-market participation costs. In contrast to the initial motivation, we find that the model is not able to simultaneously match two very...

This paper examines the utility gains and losses induced by changes in capital taxation in an economy with heterogeneous discount factors. A Ramsey equilibrium, where households earn wage income and accumulate capital, but may not borrow against future wage income, provides a natural setting for this analysis. In the short run, the agents with little or no capital gain from increased transfers ...