consumption, cross country comparative estimation, financial liberalisation

Publication date: 31 May 2004 | Publication type: NIESR Discussion Paper | Authors: Barrell, R, Davis, P | JEL classification: E21, G21 | NIESR discussion paper number: 247
We estimate the impact of financial liberalisation on consumption in 7 major industrial countries, and find a marked shift in behaviour, notably a decline in short run income elasticities and a rise in short run wealth and interest rate elasticities. A corollary is that consumption equations...