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CORPORATE CONSUMPTION: A POSTSCRIPT *
Author(s) -
SUMNER MICHAEL
Publication year - 2008
Publication title -
the manchester school
Language(s) - English
Resource type - Journals
SCImago Journal Rank - 0.361
H-Index - 42
eISSN - 1467-9957
pISSN - 1463-6786
DOI - 10.1111/j.1467-9957.2007.01056.x
Subject(s) - consumption (sociology) , economics , capital (architecture) , capital expenditure , monetary economics , accounting , social science , archaeology , sociology , history
Corporate retentions have a well‐determined effect on consumers’ expenditure, which cannot be explained by an impact of retentions on capital gains and thence on household wealth; on the contrary, increases in retentions are associated with subsequent capital losses. The timing of the relationship between retained profits and expenditure is consistent with direct corporate purchases of on‐the‐job consumption.