TY  - UNPD
A1  - Koulovatianos, Christos
A1  - Schröder, Carsten
A1  - Schmidt, Ulrich
T1  - Do demographics prevent consumer aggregates from reflecting micro-level preferences?
T2  - Center for Financial Studies (Frankfurt am Main): CFS working paper series ; No. 484
N2  - Most simulated micro-founded macro models use solely consumer-demand aggregates in order to estimate deep economy-wide preference parameters, which are useful for policy evaluation. The underlying demand-aggregation properties that this approach requires, should be easy to empirically disprove: since household-consumption choices differ for households with more members, aggregation can be rejected if appropriate data violate an affine equation regarding how much individuals benefit from within-household sharing of goods. We develop a survey method that tests the validity of this equation, without utility-estimation restrictions via models. Surprisingly, in six countries, this equation is not rejected, lending support to using consumer-demand aggregates.
T3  - CFS working paper series - 484 
KW  - Linear Aggregation
KW  - Dynamic Representative Consumer
KW  - Household-Size Economies
KW  - Equivalent Incomes
KW  - Survey Method
Y1  - 2014
UR  - http://publikationen.ub.uni-frankfurt.de/frontdoor/index/index/docId/35307
UR  - https://nbn-resolving.org/urn:nbn:de:hebis:30:3-353078
UR  - http://ssrn.com/abstract=2517233
IS  - September 17, 2014
PB  - Center for Financial Studies
CY  - Frankfurt, M.
ER  -