Capital Flows, Consumption Booms and Asset Bubbles: A Behavioural Alternative to the Savings Glut Hypothesis
---- Acknowledgments ----
This paper was developed from the Frank Hahn Lecture, delivered at the Royal Economic Society Meeting in spring 2009. We acknowledge terrific research support from Kyle Chauvin. We are grateful for the advice of Effi Benmelech, Alan Blinder, Emmanuel Farhi, Benjamin Friedman, Edward Glaeser, Owen Lamont, Jaewoo Lee, Andrei Shleifer, Jeremy Stein, Luis Viceira and participants at the Royal Economic Society Meeting in 2009. Laibson acknowledges financial support from the National Science Foundation (DMS-0527518) and the National Institute on Aging (R01-AG-021650, R01-AG-1665, P30-AG-012810). The views expressed herein are those of the authors and do not necessarily reflect the views of the National Bureau of Economic Research.