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- W2795507013 abstract "In this paper, I show that high-cost credit helps households smooth consumption following periods of temporary financial distress. After experiencing distress—that is, extreme weather events—I find that access to high-cost payday lending mitigates declines in overall spending and nondurable goods spending generally. The results are particularly concentrated among households with a higher propensity to use payday credit or that have limited alternatives: lower income households, households with less than a college degree, and households with low levels of saving. These results highlight the consumption-smoothing role that high-cost credit plays for households with limited access to other types of credit." @default.
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- W2795507013 date "2018-03-01" @default.
- W2795507013 modified "2023-09-25" @default.
- W2795507013 title "High-Cost Credit and Consumption Smoothing" @default.
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- W2795507013 doi "https://doi.org/10.1111/jmcb.12465" @default.
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