Details
| Original language | English |
|---|---|
| Pages (from-to) | 107-132 |
| Number of pages | 26 |
| Journal | FINANZARCHIV |
| Volume | 63 |
| Issue number | 1 |
| Publication status | Published - Mar 2007 |
Abstract
We analyze the impact of increased pension uncertainties on saving and retirement decisions, both in isolated and in joint decision problems. In the absence of other risks, saving is increased and retirement is delayed when social security pensions get more risky. If saving and retirement decisions are risky themselves, risk-vulnerable individuals will save less upon a higher pension risk; the effect on retirement is ambiguous. If saving and retirement decisions are made jointly, higher pension risks may cause a decline in precautionary saving or an earlier withdrawal from the labor force, but never both at the same time.
Keywords
- Decisions under uncertainty, Retirement, Saving, Social security risk
ASJC Scopus subject areas
- Economics, Econometrics and Finance(all)
- Finance
Cite this
- Standard
- Harvard
- Apa
- Vancouver
- BibTeX
- RIS
In: FINANZARCHIV, Vol. 63, No. 1, 03.2007, p. 107-132.
Research output: Contribution to journal › Article › Research › peer review
}
TY - JOUR
T1 - Saving and retirement decisions with pension risk
AU - Wagener, Andreas
PY - 2007/3
Y1 - 2007/3
N2 - We analyze the impact of increased pension uncertainties on saving and retirement decisions, both in isolated and in joint decision problems. In the absence of other risks, saving is increased and retirement is delayed when social security pensions get more risky. If saving and retirement decisions are risky themselves, risk-vulnerable individuals will save less upon a higher pension risk; the effect on retirement is ambiguous. If saving and retirement decisions are made jointly, higher pension risks may cause a decline in precautionary saving or an earlier withdrawal from the labor force, but never both at the same time.
AB - We analyze the impact of increased pension uncertainties on saving and retirement decisions, both in isolated and in joint decision problems. In the absence of other risks, saving is increased and retirement is delayed when social security pensions get more risky. If saving and retirement decisions are risky themselves, risk-vulnerable individuals will save less upon a higher pension risk; the effect on retirement is ambiguous. If saving and retirement decisions are made jointly, higher pension risks may cause a decline in precautionary saving or an earlier withdrawal from the labor force, but never both at the same time.
KW - Decisions under uncertainty
KW - Retirement
KW - Saving
KW - Social security risk
UR - http://www.scopus.com/inward/record.url?scp=34548692324&partnerID=8YFLogxK
U2 - 10.1628/001522107X186746
DO - 10.1628/001522107X186746
M3 - Article
AN - SCOPUS:34548692324
VL - 63
SP - 107
EP - 132
JO - FINANZARCHIV
JF - FINANZARCHIV
SN - 0015-2218
IS - 1
ER -