Tag Archives: consumption

When the unhealthy self kills our New Year’s resolutions

“New Year’s Day: Now is the accepted time to make your regular annual good resolutions. Next week you can begin paving hell with them as usual.” — This quote attributed to Mark Twain describes what many people experience as they … Continue reading

Posted in Research | Tagged , , , , , , , , , | Comments Off on When the unhealthy self kills our New Year’s resolutions

Peer effects! Peer effects everywhere! Whether you are shopping, working, leaving the nest…

Does the social environment influence what individuals buy? Are mothers more likely to work when other women in the neighborhood have a job? Do young people choose to continue living with their parents because their friends also do? If so, … Continue reading

Posted in Research | Tagged , , , , , , , , | Comments Off on Peer effects! Peer effects everywhere! Whether you are shopping, working, leaving the nest…

“When the going gets tough, the tough major in STEM fields”

The consequences of economic fluctuations are large and long-lasting, and can have an especially strong influence on investment choices. A new study by Erica Blom, Brian C. Cadena, and Benjamin J. Keys provides new insights into how personal exposure to … Continue reading

Posted in Research | Tagged , , , , , , , , , , , | 1 Comment

Savings and political turmoil: The case of the Tiananmen Square protests

Cutting-edge macroeconomic research suggests that political uncertainty heavily influences private consumption. However, evidence on the individual level how households cope with uncertainty shocks is surprisingly scarce. In a new IZA Discussion Paper, Rolf Aaberge, Kai Liu and Yu Zhu use … Continue reading

Posted in Research | Tagged , , , , , , , | Comments Off on Savings and political turmoil: The case of the Tiananmen Square protests

Making work more attractive: increase the VAT and reduce labor taxes

What is the right mix between direct taxes, such as personal income taxes or social security contributions, and indirect taxes like the Value Added Tax (VAT)? This question is controversially discussed in both the economic literature as well as among … Continue reading

Posted in Research | Tagged , , , , , , , , , , , , | Comments Off on Making work more attractive: increase the VAT and reduce labor taxes

False Hopes in Germany’s Minimum Wage

The new German government coalition is planning the phased introduction of a national minimum wage of 8.50 euros per hour. This is a bold move placing Germany among the world leaders in terms of government-mandated minimum wages. A simulation based … Continue reading

Posted in Opinions | Tagged , , , , , , , | Comments Off on False Hopes in Germany’s Minimum Wage