Review of Economic Studies Vol. 71 No. 3 2004
Precautionary Wealth Accumulation
Abstract
When does an individual's expected wealth accumulation profile increase as earnings risk increases? This paper answers this question for multi-period models where earnings shocks are independent over time. Sufficient conditions are stated in terms of properties of a decision rule for savings and, alternatively, in terms of properties of preferences.
- DOI
- 10.1111/j.1467-937x.2004.00303.x
- Volume
- 71
- Issue
- 3
- Pages
- 769-781
- Language
- en
- Sources
- bibtex:phds-export.bib crossref openalex