Consumption, Savings, and Earnings Responses to Financial Windfalls

We gratefully acknowledge funding from the Social Sciences and Humanities Research Council of Canada. We are very grateful to Lee Lockwood, Jesse Shapiro, Stephen Zeldes, and conference and seminar participants at the NBER Public Economics, NBER Innovative Data in Household Finance, NBER Household Finance Across the Lifecycle, University of Virginia, University of Wisconsin–Madison, the Junior Household Finance Seminar, the Early Career Women in Finance Conference, American Economic Association Annual Meeting, Chicago Household Finance Conference, the Federal Reserve Bank of New York, the Federal Reserve Bank of Philadelphia, and Queen’s University for their helpful comments. We sincerely appreciate the support from Roshani Agrawal, Peter McAlpine, Subhadip Sarkar, Lisa Weir, and ChengDa (Dennis) Zheng, who worked at the credit bureau that provided us with the data. We thank Stephen Claassen, Julian Haas, and Muhammad Ali Sajid for outstanding research assistance. The views expressed in this paper are solely those of the authors and do not necessarily reflect the views of the Federal Reserve Bank of Philadelphia, the Federal Reserve Bank of New York, the Federal Reserve System, or the National Bureau of Economic Research. All errors are our own.