Article ID Journal Published Year Pages File Type
5062832 Economics Letters 2006 5 Pages PDF
Abstract

Economists argue that overconsumption and low savings rates in developed societies are mainly due to the negative effects of reference groups. We show that overconsumption behavior depends on the relative strength of the group effects but not on the sign.

Keywords
Related Topics
Social Sciences and Humanities Economics, Econometrics and Finance Economics and Econometrics
Preview
Overconsumption, reference groups, and equilibrium efficiency
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