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This study explores the determinants of household consumption using household-level characteristics to investigate whether unexpected adverse income shocks can influence the amount of Russian household consumption expenditure from 2002 to 2015. We identify factors crucial in deciding consumption expenditure in a transition economy. Our empirical analysis suggests that income shocks such as wage arrears, unexpected wage cuts, or compulsory unpaid leave cannot significantly influence consumption expenditure decisions. Multiple jobs, private transfer, and home-produced products were examined as a channel of consumption smoothing. However, we cannot reject the full insurance consumption hypothesis and show contrasting results with previous literature