Heterogeneous wealth effects

We measure wealth effects on consumption using a novel research design: responses to direct survey questions asking how much household would change in response unexpected (positive and negative) shocks own home value. The average effect is the 2-5% range, line with econometric estimates that associate changes housing realizations. However, our analysis uncovers significant heterogeneity. Extensive margin are limited: more than 90% of sample reports no adjustment shocks. On other hand, conditioning adjusting, intensive substantial. Finally, positive greater negative shocks, as suggested by collateral channel mechanism transmission between consumption.