Author: Orazio P. AttanasioPublisher:
ISBN:
Category :
Languages : es
Pages : 31
Book Description
A cohort analysis of saving behavior by U.S. households
Author: Orazio P. AttanasioSaving Behavior of U.S. Households
Author: Patricia Jo FisherPublisher:
ISBN:
Category : Loss aversion
Languages : en
Pages : 155
Book Description
Abstract: The main purpose of this dissertation is to explore household saving using a prospect theory approach through the use of the loss aversion model and behavioral portfolio theory. The research begins by investigating the effect of having expected per-period income above or below the reference level as well as the effect of uncertainty on the likelihood of saving based on the loss aversion model. The focus then moves to saving motives based on the ideas of behavioral portfolio theory. The direct measure of saving available in the dataset is saving over the previous year. Saving horizon is also investigated since the saving measure is a short-term measure and some regular savers may not have saved during the past year. The dataset used is the 2004 Survey of Consumer Finances. The sample excludes retired U.S. households for a final number of 3,694 households. Having expected per-period income above the reference level increases the likelihood of saving. Having expected per-period income below the reference level is significantly and negatively related to the likelihood of saving, and has a greater effect on the likelihood of saving than having expected per-period income above the reference. The group of uncertainty variables is significant in explaining the likelihood of saving. In contrast to the theories reviewed, most of the uncertainty variables are not found to increase the likelihood of saving. Saving motives and saving horizon are significant in explaining the likelihood of saving. Saving for a foreseeable expense significantly increases the likelihood of saving in both the models with and without interaction terms. Having a motive to save for the education of children or grandchildren significantly decreases the likelihood of saving in the model without interactions, while this variable is not significant when interactions are added. Inclusion of interactions of saving horizon variables with the saving motive variables is found to be significant in explaining the likelihood of saving, indicating that saving motives do differ by saving horizon.
Saving behavior of United States households
Author: Patricia FisherA Cohort Analysis Od Saving Behavior by U.S. Households
Author: A Cohort Analysis of Saving Behavior by U.S. Households
Author: Orazio P. AttanasioPublisher:
ISBN:
Category : Cohort analysis
Languages : en
Pages : 56
Book Description
In this paper I analyze the pattern of saving behavior by U.S. households, using the Consumer Expenditure (CEX) Survey. The analysis' main goal is to explain the decline in aggregate personal saving in the United States in the 1980s. I estimate a typical' saving-age profile and identify systematic movements of the profile across different cohorts of U.S. households. In addition, I consider different definitions of saving and control for a number of factors that figure in popular explanations fo the decline in saving. The main results can be summarized as follows: 1) the typical' saving-age profile presents a pronounced hump' and peaks around age 60; 2) this typical' age profile was, at least during the 1980s, shifted down for those cohorts born between 1925 and 1939. This is consistent with the low level of aggregate saving because these cohort were, in the 1980s, in that part of their life cycle when saving is highest; 3) this results holds for various definition of saving with one notable exception; the decline is less pronounced when expenditure on durables is considered as saving; and 4) some other popular explanations of the decline in saving are rejected by the data, including those appealing to the presence of capital gains on real or financial assets.
Saving Behavior of U.S. Households in the 1980s
Author: Y. Regina ChangPublisher:
ISBN:
Category :
Languages : en
Pages :
Book Description
An analysis of the 1983 and 1986 Survey of Consumer Finance shows that 40% of U.S. households had a decrease in real net non-housing assets between the two survey periods. This study uses t-test, bivariate and multivariate analyses to investigate household saving behavior and identify factors related to it. Multivariate regression results show that the household's initial net non-housing asset level is the most important factor related to increases in net non- housing assets (saving.) The initial net non-housing asset level in 1983 was negatively related to saving between the two periods. Households with higher income levels had higher predicted saving than those with lower income levels. Households with a high level of risk tolerance saved more than their counterparts. Households that received windfalls between 1983 and 1986 saved a large fraction (87%) and only consumed a small fraction of the windfalls received.
A Cohort Analysis of Saving Behavior by U.S. Households
Author: Orazio AttanasioPublisher:
ISBN:
Category :
Languages : en
Pages : 45
Book Description
In this paper I analyze the pattern of saving behavior by U.S. households, using the Consumer Expenditure (CEX) Survey. The analysis' main goal is to explain the decline in aggregate personal saving in the United States in the 1980s. I estimate a typical' saving-age profile and identify systematic movements of the profile across different cohorts of U.S. households. In addition, I consider different definitions of saving and control for a number of factors that figure in popular explanations fo the decline in saving. The main results can be summarized as follows: 1) the typical' saving-age profile presents a pronounced hump' and peaks around age 60; 2) this typical' age profile was, at least during the 1980s, shifted down for those cohorts born between 1925 and 1939. This is consistent with the low level of aggregate saving because these cohort were, in the 1980s, in that part of their life cycle when saving is highest; 3) this results holds for various definition of saving with one notable exception; the decline is less pronounced when expenditure on durables is considered as saving; and 4) some other popular explanations of the decline in saving are rejected by the data, including those appealing to the presence of capital gains on real or financial assets.
Individual Behaviors and Technologies for Financial Innovations
Author: Wesley Mendes-Da-SilvaPublisher: Springer
ISBN: 3319919113
Category : Business & Economics
Languages : en
Pages : 395
Book Description
This book offers comprehensive examination of research on the relevance of individual behavior and technology to financial innovations. The chapters cover current topics in finance including integrated reporting, people finance, crowdfunding, and corporate networks. It provides readers with an organized starting point to explore individual behaviors and new technologies used in financial innovations. The explicit and growing speed of the spread of new technologies has hastened the emergence of innovation in the field of finance. Topics like the Internet of Things, semantic computing and big data finance are motivating the construction of financial tools that translate into new financial mechanisms. This book strives help readers better understand the dynamic of the changes in financial systems and the proliferation of financial products. Individual Behaviors and Technologies for Financial Innovations is organized in 16 chapters, organized in three parts. Part I has eight chapters that review the research on gender differences in attitudes about risk and propensity to purchase automobile insurance, financial literacy models for college students, wellness and attitude of university students in the use of credit cards, impact of programs income distribution and propensity to remain in employment, financial literacy and propensity to resort to informal financing channels, risk behavior in the use of credit cards by students. Part II reviews the research on financing for startups and SMEs, exploring funding through crowdfunding platform, operating credit unions, and using networks of friends to finance small businesses outside the domestic market. The four chapters of Part III describe contexts of financial innovation in listed companies, including society's demands on their behavior - we discuss motivations for companies to participate in corporate sustainability indexes, corporate performance through their profile of socially responsible investments, influence of networks of social relations in the formation of boards, and management of companies, and also the precariousness of financial decisions in large companies, as well as the role of the internet in corporate communication with the market.
Education, Income, and Human Behavior
Author: Francis T. JusterPublisher:
ISBN: 9780608185552
Category : College graduates
Languages : en
Pages : 466
Book Description
The Financial Diaries
Author: Jonathan MorduchPublisher: Princeton University Press
ISBN: 0691172986
Category : Business & Economics
Languages : en
Pages : 248
Book Description
Drawing on the groundbreaking U.S. Financial Diaries project (http://www.usfinancialdiaries.org/), which follows the lives of 235 low- and middle-income families as they navigate through a year, the authors challenge popular assumptions about how Americans earn, spend, borrow, and save-- and they identify the true causes of distress and inequality for many working Americans.