IDEAS home Printed from https://ideas.repec.org/a/bpj/evoice/v2y2005i1n14.html
   My bibliography  Save this article

Life-Cycle Portfolios as Government Policy

Author

Listed:
  • Shiller Robert J.

    (Yale University)

Abstract

A life-cycle portfolio for personal accounts within Social Security, such as President George Bush has proposed, would adjust risk exposure as a function of the workers age. This would involve the government in making complex dynamic portfolio decisions for individuals. The conventional rule of thumb that workers should invest a percentage of their portfolio equal to roughly 100 minus their age in stocks appears to be far from optimal. Choosing the optimal portfolio requires considering issues of behavioral economics such as why people do not already invest optimally and what kinds of people will sign up for the life-cycle portfolio.

Suggested Citation

  • Shiller Robert J., 2005. "Life-Cycle Portfolios as Government Policy," The Economists' Voice, De Gruyter, vol. 2(1), pages 1-9, August.
  • Handle: RePEc:bpj:evoice:v:2:y:2005:i:1:n:14
    as

    Download full text from publisher

    File URL: https://www.degruyter.com/view/j/ev.2005.2.1/ev.2005.2.1.1095/ev.2005.2.1.1095.xml?format=INT
    Download Restriction: For access to full text, subscription to the journal or payment for the individual article is required.

    As the access to this document is restricted, you may want to search for a different version of it.

    Citations

    Citations are extracted by the CitEc Project, subscribe to its RSS feed for this item.
    as


    Cited by:

    1. Pfau, Wade Donald, 2011. "Getting on Track for a Sustainable Retirement: A Reality Check on Savings and Work," MPRA Paper 31900, University Library of Munich, Germany.
    2. Basu, Anup K. & Chen, En Te & Clements, Adam, 2014. "Are lifecycle funds appropriate as default options in participant-directed retirement plans?," Economics Letters, Elsevier, vol. 124(1), pages 51-54.
    3. Shiller, Robert J., 2006. "Life-cycle personal accounts proposal for Social Security: An evaluation of President Bush's proposal," Journal of Policy Modeling, Elsevier, pages 427-444.

    More about this item

    Statistics

    Access and download statistics

    Corrections

    All material on this site has been provided by the respective publishers and authors. You can help correct errors and omissions. When requesting a correction, please mention this item's handle: RePEc:bpj:evoice:v:2:y:2005:i:1:n:14. See general information about how to correct material in RePEc.

    For technical questions regarding this item, or to correct its authors, title, abstract, bibliographic or download information, contact: (Peter Golla). General contact details of provider: https://www.degruyter.com .

    If you have authored this item and are not yet registered with RePEc, we encourage you to do it here. This allows to link your profile to this item. It also allows you to accept potential citations to this item that we are uncertain about.

    We have no references for this item. You can help adding them by using this form .

    If you know of missing items citing this one, you can help us creating those links by adding the relevant references in the same way as above, for each refering item. If you are a registered author of this item, you may also want to check the "citations" tab in your RePEc Author Service profile, as there may be some citations waiting for confirmation.

    Please note that corrections may take a couple of weeks to filter through the various RePEc services.

    IDEAS is a RePEc service hosted by the Research Division of the Federal Reserve Bank of St. Louis . RePEc uses bibliographic data supplied by the respective publishers.