Science, 345(6193), 212-215. doi:10.1126/science.1247727. [Abstract and editor's summary read in full; the editorial summary attributes most of the payday spike to regular payments linked to regular i
Gelman first author, not Shapiro. A dataset of 60 million transactions made by 75,000 people was used to measure how spending responds to income. Spending does rise after pay or pension arrives, but the editors' own summary records that this is mostly explained by the convenience of linking regular payments, such as rent and utilities, to regular income. People short of cash were more likely to increase spending on receiving income.
Gelman first author, not Shapiro. A dataset of 60 million transactions made by 75,000 people was used to measure how spending responds to income. Spending does rise after pay or pension arrives, but the editors' own summary records that this is mostly explained by the convenience of linking regular payments, such as rent and utilities, to regular income. People short of cash were more likely to increase spending on receiving income.
Written from the abstract read 2026-10-18.
What our sources record
Reproduced as it was written when this source was checked, figures and all.
Gelman, M., Kariv, S., Shapiro, M. D., Silverman, D., & Tadelis, S. (2014). Science, 345(6193), 212-215. doi:10.1126/science.1247727. [Abstract and editor's summary read in full; the editorial summary attributes most of the payday spike to regular payments linked to regular income]