Open Access. Powered by Scholars. Published by Universities.®

Finance Commons™

Open Access. Powered by Scholars. Published by Universities.®

Dartmouth College

Discipline
Keyword
Publication Year
Publication
Publication Type

Articles 31 - 33 of 33

Full-Text Articles in Finance

The Economics Of Prefunding Social Security And Medicare Benefits, Martin Feldstein, Andrew Samwick Jan 1997

The Economics Of Prefunding Social Security And Medicare Benefits, Martin Feldstein, Andrew Samwick

Dartmouth Scholarship

This paper presents a detailed analysis of the economics of prefunding benefits for the aged, focusing on social security but indicating some of the analogous magnitudes for prefunding Medicare benefits. We use detailed census and social security information to model the transition to a fully funded system based on mandatory contributions to individual accounts. The funded system that we examine would permanently maintain the level of benefits now specified in current law and would require no new government borrowing (other than eventually selling the bonds that are officially in the social security trust fund). During the transition, the combined rate …


Household Saving: Micro Theories And Micro Facts, Martin Browning, Annamaria Lusardi Dec 1996

Household Saving: Micro Theories And Micro Facts, Martin Browning, Annamaria Lusardi

Dartmouth Scholarship

In this survey, we review the recent theoretical and empirical literature on household saving and consumption. The discussion is structured around a list of motives for saving and how well the standard theory captures these motives. We show that almost all of the motives for saving that have been suggested in the informal saving literature can be captured in the standard optimizing model. Particular attention is given to recent work on the precautionary motive and its implications for saving and consumption behavior. We also discuss the "behavioral" or "psychological" approach that eschews the use of standard optimization techniques and focuses …


How Retirement Saving Programs Increase Saving, James M. Poterba, Steven F. Venti, David A. Wise Jan 1996

How Retirement Saving Programs Increase Saving, James M. Poterba, Steven F. Venti, David A. Wise

Dartmouth Scholarship

This paper summarizes the authors work on the effect of IRA and 401(k) contributions on net personal saving. They consider many different nonparametric approaches to controlling for heterogeneity in individual saving behavior and conclude that the weight of the available evidence suggests that contributions to both IRAs and 401(k)s largely represent new saving. The authors devote particular attention to reconciling their results with the findings in other studies that reach different conclusions, sometimes using the same databases that the authors analyze. Methodological limitations that undermine the reliability of results in other studies explain many of these disparities.