Using data from the Continuing Survey of Food Intake by Individuals,
this paper describes the shape of consumption profiles over the
month for Social Security benefit recipients that have saved different
amounts for retirement. Individuals with income mostly made up of
Social Security and savings smooth consumption over the pay period,
while individuals without savings consume 25 percent fewer calories
the week before they receive checks relative to the week afterwards.
The findings for individuals without savings, who comprise about a
fourth of our sample, are inconsistent with the standard Life Cycle-
Permanent Income Hypothesis but are consistent with hyperbolic
discounting. (JEL D14, E21, J26)
"Heterogeneity in Intra-monthly Consumption Patterns, Self-Control, and Savings at Retirement."
American Economic Journal: Economic Policy,
Macroeconomics: Consumption; Saving; Wealth
Retirement; Retirement Policies