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Les Suisses sont-ils prudents?

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  • Christophe Kolodziejczyk

Abstract

Using a cross-section of swiss households we test whether savings behavior is driven by a precautionary motive. Panel data would facilitate this task but are not available in the swiss context. We therefore propose estimators for key parameters such as household income risk. The permanent income model is nested within the precautionary saving model. We find that a precautionary motive is present among households as a whole but is not quantitatively important. A closer look at the data suggests that a precautionary motive is more present among some groups of occupation, as for others the hypothesis that income risk does not affect consumption cannot be rejected.

Suggested Citation

  • Christophe Kolodziejczyk, 2005. "Les Suisses sont-ils prudents?," Swiss Journal of Economics and Statistics (SJES), Swiss Society of Economics and Statistics (SSES), vol. 141(I), pages 129-164, March.
    • Handle: RePEc:ses:arsjes:2005-i-5
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    References listed on IDEAS

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    1. Richard Blundell & Ian Preston, 1998. "Consumption Inequality and Income Uncertainty," The Quarterly Journal of Economics, President and Fellows of Harvard College, vol. 113(2), pages 603-640.
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    5. Miles, David, 1997. "A Household Level Study of the Determinants of Incomes and Consumption," Economic Journal, Royal Economic Society, vol. 107(440), pages 1-25, January.
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    7. Deaton, Angus, 1992. "Understanding Consumption," OUP Catalogue, Oxford University Press, number 9780198288244.
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    JEL classification:

    • C21 - Mathematical and Quantitative Methods - - Single Equation Models; Single Variables - - - Cross-Sectional Models; Spatial Models; Treatment Effect Models
    • D91 - Microeconomics - - Micro-Based Behavioral Economics - - - Role and Effects of Psychological, Emotional, Social, and Cognitive Factors on Decision Making

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