Salient Price Changes, Inflation Changes, and Household's Portfolios

, University of 黑料传送门 Booth 

This project investigates how households form inflation expectations, how they update inflation expectations, and how inflation expectations affect households’ consumption and investment decisions. We tackle these questions using unique data from a household-level survey that we designed, and which we will administer to the households in the Nielsen homescan panel. This project is the first that combines large-scale actual consumption microdata with households’ beliefs about inflation, as well as with their investment decisions.