Journal Article

Expected income growth and the Great Recession


Abstract: Consumers? expected income growth declined significantly during the Great Recession. It was the most severe drop ever observed in these data, and expectations have not yet fully recovered. Furthermore, this article shows that expected income growth is a strong predictor of actual future income and consumption growth.

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Bibliographic Information

Provider: Federal Reserve Bank of Chicago

Part of Series: Economic Perspectives

Publication Date: 2013

Volume: 37

Issue: Q I

Pages: 14-29