Interest Rate Pass-Through: Mortgage Rates, Household Consumption, and Voluntary Deleveraging

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Mortgage Design in an Equilibrium Model of the Housing Market (2018, background): “Fuster and Willen (2017) and Di Maggio et al. (2017) show that downward rate resets lead to reductions in defaults and increases in household consumption, respectively.”
How Quantitative Easing Works: Evidence on the Refinancing Channel (2016, background): “…in contrast to the 36These conditional-on-refinancing results are nearly identical when we instead restrict the sample to the QE3 period. setting of Di Maggio et al. (2017), whose consumption response functions are identified by exogenous interest rate changes that do not require refinancing.”
Regional Heterogeneity and Monetary Policy (2019, positive): “51Since this result is driven by variation in equity, it is consistent with results in Di Maggio et al. (2017) that after conditioning on equity, greater ARM shares are associated with larger spending responses to rate changes.”
Consumer responses to the Covid‐19 crisis: evidence from bank account transaction data (2020, neutral): “We consider individuals to suffer crisis-related unemployment if, in April 2020, they had virtually no labor earnings (below $150) or received significant government transfers (above $1,200).(9) We consider individuals to be in continued employment if, in April 2020, they had significant labor earni”