Similarly, the share of variable rate mortgages ranges from less than 20% in France and Germany to more than 80% in Luxembourg, the Netherlands, Portugal and Slovakia (see Ehrmann and Ziegelmeyer (2013)).
The great variety of households revealed by household-level data stands in sharp contrast to the stark representation of consumers in many DSGE models (especially those of the first generation), in which consumption smoothing or intertemporal substitution is typically governed by a single parameter that is often calibrated in an ad hoc manner.