Wealth, income, and consumption: a microeconomic approach to a macroeconomic question
These four researchers will investigate how inequality in the distribution of income and wealth impacts consumption, a major component of economic growth. Specifically, they will create a new dataset that will help them and other researchers explore these questions. They will look at how disparities in income and wealth have affected decisions about consumption and saving since the beginning of the Great Recession in 2009. The results will be important for growth modeling, for determining how inequality affects economic growth, and for understanding the differences in who has benefited from recent patterns of income growth in the economy.