Thesis title: Expenditure Heterogeneity, Income Shocks, and Redistributive Policies: Theory and Evidence from Italian Data
The thesis provides a comprehensive analysis of the determinants of consumption behaviour and the concept of elasticity. Elasticity is the responsiveness of consumption to changes in variables such as income or price. The thesis is structured into three chapters: a literature review on consumption elasticity, followed by two chapters of empirical analysis. The second chapter analyses the elasticity of consumption with respect to income in Italy, while the third chapter evaluates the Italian guaranteed minimum income scheme, referred to as the Citizenship Income. It further investigates the impact of income distribution on variability among households, highlighting the importance of these factors in evaluating fiscal and redistributive policies. The overarching theme is the examination of consumption patterns and consumer vulnerability, with the objective of formulating structured policy recommendations for Italy.