TY - JOUR
T1 - Consumption and time use responses to unemployment
T2 - Implications for the lifecycle model
AU - Been, Jim
AU - Suari-Andreu, Eduard
AU - Knoef, Marike
AU - Alessie, Rob
N1 - Funding Information:
This work was supported by grants from Instituut Gak (Been, Knoef) and Netspar (Alessie, Suari‐Andreu). We thank participants in the Leiden Lunch Seminar Series, the Netspar International Pension Workshop 2020, the KVS New Paper Sessions 2020, and the annual conference of the European Economic Association 2020 for valuable comments and suggestions. In particular, we would like to thank Sijmen Duineveld, Eric French, Ricky Kanabar, Mauro Mastrogiacomo, Kurt Mitman, Tommaso Oliviero, Raun van Ooijen, Charlotte Ringdal, Arthur van Soest and Pascal St‐Amour for comments on earlier versions of the paper. Finally, we would like to thank the editor, Wouter den Haan, and three anonymous referees who helped to improve the paper.
Publisher Copyright:
© 2023 The Authors. Economica published by John Wiley & Sons Ltd on behalf of London School of Economics and Political Science.
PY - 2024/1
Y1 - 2024/1
N2 - In this study, we analyse the effects of unemployment on consumption and time use. To do so, we employ a micro panel dataset for the Netherlands containing a large set of expenditure and time use categories. Our results show a small negative effect of unemployment on expenditures, and large positive effects on time spent on home production and leisure activities. We do not find evidence for complementarity between leisure and consumption or for substitution between home production and expenditures. We use our results to estimate a ratio of relevant lifecycle parameters, and show that the point estimates and their precision depend strongly on the expenditure and time use categories considered.
AB - In this study, we analyse the effects of unemployment on consumption and time use. To do so, we employ a micro panel dataset for the Netherlands containing a large set of expenditure and time use categories. Our results show a small negative effect of unemployment on expenditures, and large positive effects on time spent on home production and leisure activities. We do not find evidence for complementarity between leisure and consumption or for substitution between home production and expenditures. We use our results to estimate a ratio of relevant lifecycle parameters, and show that the point estimates and their precision depend strongly on the expenditure and time use categories considered.
U2 - 10.1111/ecca.12494
DO - 10.1111/ecca.12494
M3 - Article
AN - SCOPUS:85168920983
SN - 0013-0427
VL - 91
SP - 1
EP - 32
JO - Economica
JF - Economica
IS - 361
ER -