Our work in this area looks at how consumers respond to price signals and other incentives to change their borrowing, saving and spending behaviour, as well as how different households' welfare is affected by inflation and changes in indirect taxes.
We show that observed behaviour can be rationalised by the fact that the shadow price of home-cooked food, which accounts for the fact that cooking takes time, has risen relative to the price of ready-to-eat food.
"There is much to do to get childcare policy right, but let’s not mix it up with sorting out the present cost-of-living crisis." Paul Johnson writes for The Times.
At this event, IFS researchers presented the findings of new research on the spending patterns of current retirees. Following this, Carolyn Jones, Head of Pensions Policy and Strategy at the Money and Pensions Service, gave a response to the findings of the report.