Supplement to "Contract Pricing in Consumer Credit Markets"

This appendix provides a more detailed analysis of a parameterized version of the consumer model presented in Section 4.1.  It also illustrates some of the theoretical properties of the model and shows that the model can incorporate features observed in the data. Third, it shows the calibrated parameters of the model to match several key moments in data and further explores the features of the model.  Finally, it reports how well this model can be approximated by the linearized version in Section 4.3 of the paper.

Supplemental Authors: 
Liran Einav, Mark Jenkins, and Jonathan Levin
extensions

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