The Effect of Annuity Insurance and Savings and Inequality
AbstractThis paper examines the amount of precautionary savings and wealth inequality arising from life-span uncertainty by comparing saving behavior under perfect insurance arrangements with that arising under imperfect arrangements, namely, when longevity risk can be pooled only with members of one's own family. The central findings of the paper are: (1) perfecting insurance arrangements can lower savings in intergenerationally altruistic and life-cycle economies and (2) in altruistic economies perfecting annuity insurance can influence in-equality; indeed, in the long run in the model, switching from imperfect family insurance to perfect insurance can mean the difference between absolute inequality and absolute equality. Copyright 1986 by University of Chicago Press.
Download InfoIf you experience problems downloading a file, check if you have the proper application to view it first. In case of further problems read the IDEAS help page. Note that these files are not on the IDEAS site. Please be patient as the files may be large.
As the access to this document is restricted, you may want to look for a different version under "Related research" (further below) or search for a different version of it.
Bibliographic InfoArticle provided by University of Chicago Press in its journal Journal of Labor Economics.
Volume (Year): 4 (1986)
Issue (Month): 3 (July)
Contact details of provider:
Web page: http://www.journals.uchicago.edu/JOLE/
You can help add them by filling out this form.
CitEc Project, subscribe to its RSS feed for this item.
- Aldieri, Luigi & Fiorillo, Damiano, 2012.
"Private monetary transfers and altruism: an empirical investigation on Italian families,"
36423, University Library of Munich, Germany.
- Luigi Aldieri & Damiano Fiorillo, 2012. "Private monetary transfers and altruism: An empirical investigation on Italian families," Discussion Papers 12_2012, CRISEI, University of Naples "Parthenope", Italy.
- Rafael Di Tella & Robert MacCulloch, 2002.
"Informal Family Insurance And The Design Of The Welfare State,"
Royal Economic Society, vol. 112(481), pages 481-503, July.
- DiTella, Rafael & MacCulloch, Robert, 1999. "Informal family insurance and the design of the welfare state," ZEI Working Papers B 23-1999, ZEI - Center for European Integration Studies, University of Bonn.
- Rafael Di Tella & Robert MacCulloch, 1998. "Informal Family Insurance and the Design of the Welfare State," JCPR Working Papers 44, Northwestern University/University of Chicago Joint Center for Poverty Research.
- Chulhee Lee, 1999.
"Life-Cycle Savings in the United States, 1900-1990,"
Working Paper Series
no14, Institute of Economic Research, Seoul National University.
- C. Lee, 1998. "Life Cycle Savings in the United States, 1900-1990," CPE working papers 0014, University of Chicago - Centre for Population Economics.
- Willman, Alpo, 2007. "Sequential optimization, front-loaded information, and U.S. consumption," Working Paper Series 0765, European Central Bank.
For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Journals Division).
If references are entirely missing, you can add them using this form.