Title | Saving, Risk Sharing, and Preferences for Risk |
Publication Type | Journal Article |
Year of Publication | 2004 |
Authors | Mazzocco, M |
Journal | The American Economic Review |
Volume | 94 |
Issue | 4 |
Pagination | 1169-1182 |
ISSN Number | 00028282 |
Keywords | Risk Factors, Risk Taking, Savings |
Abstract | An important feature of household saving decisions is the ability of individual members to share risk among them. With few exceptions, theoretical and empirical studies characterize household saving as if a single agent were making the decision. Under this assumption, the risk-sharing component of household saving is largely ignored. This paper is one of the first attempts to analyze the effect of risk sharing on saving by characterizing the household as a group of agents making efficient decisions. |
DOI | 10.1257/0002828042002516 |
Citation Key | 9788 |