Working Paper（24-020E）The Reality of Consumption: Comparing Self-Reported and Observed Marginal Propensity to Consume

Surveys are widely used in economic analyses. This study compares the self- reported and actual marginal propensity to consume by integrating survey with bank transaction data. The estimation results reveal no significant relationship between the two measures, casting a doubt on the use of self-reported consumption measures.

JEL Classification Number : E21, E01

Keywords: MPC; survey; measurement