IDEAS home Printed from https://ideas.repec.org/
MyIDEAS: Login to save this paper or follow this series

Life cycle accumulation and aging risks

  • Legendre, Bérangère
  • El Mekkaoui de Freitas, Najat

How to de ne the most appropriate institutional framework that could encourage to better plan retirement? The French population used to consider that the PAYG public pension system should finance pensions. The pension system being based on an insurance principle and intergenerational risk sharing, once retired, households estimate that the public system has to provide them an adequate level of pension. But in the context of pension reforms, the replacement rates provided by the PAYG pension system are going to decrease. Households will need to increase their savings rates to maintain their standard of living during retirement. We test the impact of new risks and aspects of the aging issue on retirement related asset holding behaviour. We integrate the longevity and disability risks, the impact of the public pension information system, which is a way to improve private nancial education and awareness, and psychological variables. We estimate bivariate probit models to better understand these behaviours. Our results indicate that the households change their mind and adapt their behaviour to new economic and demographic issues. The implementation of the pension information right allows them to increase their private savings for the retirement and the life expectancy at old age increases the probability to hold an annuity contract.

If 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.

File URL: http://basepub.dauphine.fr/xmlui/bitstream/123456789/11142/1/LegendrePaper.pdf
Download Restriction: no

Paper provided by Paris Dauphine University in its series Economics Papers from University Paris Dauphine with number 123456789/11142.

as
in new window

Length:
Date of creation: Aug 2012
Date of revision:
Handle: RePEc:dau:papers:123456789/11142
Contact details of provider: Web page: http://www.dauphine.fr/en/welcome.html
More information through EDIRC

References listed on IDEAS
Please report citation or reference errors to , or , if you are the registered author of the cited work, log in to your RePEc Author Service profile, click on "citations" and make appropriate adjustments.:

as in new window
  1. B. Douglas Bernheim & Katherine Grace Carman & Jagadeesh Gokhale & Laurence J. Kotlikoff, 2002. "The mismatch between life insurance holdings and financial vulnerabilities: evidence from the Survey of Consumer Finances," Working Paper 0201, Federal Reserve Bank of Cleveland.
  2. Alan L. Gustman & Thomas L. Steinmeier, 2001. "Imperfect Knowledge, Retirement and Saving," NBER Working Papers 8406, National Bureau of Economic Research, Inc.
  3. Daniel Verger & André Masson & Luc Arrondel, 2008. "Le patrimoine en France : état des lieux, historique et perspectives," Économie et Statistique, Programme National Persée, vol. 417(1), pages 3-25.
  4. Bernheim, B. Douglas & Lemke, Robert J. & Scholz, John Karl, 2004. "Do estate and gift taxes affect the timing of private transfers?," Journal of Public Economics, Elsevier, vol. 88(12), pages 2617-2634, December.
  5. Browning, Martin & Francois Bourguignon & Pierre-Andre Chiappori & Valerie Lechene, 1994. "Income and Outcomes: A Structural Model of Intrahousehold Allocation," Journal of Political Economy, University of Chicago Press, vol. 102(6), pages 1067-96, December.
  6. Christopher D. Carroll & Karen E. Dynan & Spencer D. Krane, 2003. "Unemployment Risk and Precautionary Wealth: Evidence from Households' Balance Sheets," The Review of Economics and Statistics, MIT Press, vol. 85(3), pages 586-604, August.
  7. Annamaria Lusardi & Olivia S. Mitchell, 2005. "Financial Literacy and Planning: Implications for Retirement Wellbeing," CeRP Working Papers 46, Center for Research on Pensions and Welfare Policies, Turin (Italy).
  8. Cagetti, Marco, 2003. "Wealth Accumulation over the Life Cycle and Precautionary Savings," Journal of Business & Economic Statistics, American Statistical Association, vol. 21(3), pages 339-53, July.
  9. Karen E. Dynan & Jonathan Skinner & Stephen P. Zeldes, 2000. "Do the Rich Save More?," NBER Working Papers 7906, National Bureau of Economic Research, Inc.
  10. David E. Bloom & David Canning & Bryan Graham, 2003. "Longevity and Life-cycle Savings," Scandinavian Journal of Economics, Wiley Blackwell, vol. 105(3), pages 319-338, 09.
  11. Börsch-Supan, Axel H. & Reil-Held, Anette & Rodepeter, Ralf & Schnabel, Reinhold & Winter, Joachim, 2001. "The German Savings Puzzle," Munich Reprints in Economics 20236, University of Munich, Department of Economics.
  12. Menchik, Paul L & David, Martin, 1983. "Income Distribution, Lifetime Savings, and Bequests," American Economic Review, American Economic Association, vol. 73(4), pages 672-90, September.
  13. Bernard, Philippe & El Mekkaoui de Freitas, Najat & Lavigne, Anne & Mahieu, Ronan, 2003. "Ageing and the Demand for Life Insurance : An Empirical Investigation using French Panel Data," Economics Papers from University Paris Dauphine 123456789/6152, Paris Dauphine University.
  14. Blundell, Richard & Browning, Martin & Meghir, Costas, 1994. "Consumer Demand and the Life-Cycle Allocation of Household Expenditures," Review of Economic Studies, Wiley Blackwell, vol. 61(1), pages 57-80, January.
  15. Axel H. Boersch-Supan & Joachim K. Winter, 2001. "Population Aging, Savings Behavior and Capital Markets," NBER Working Papers 8561, National Bureau of Economic Research, Inc.
  16. John Ameriks & Andrew Caplin & John Leahy, 2003. "Wealth Accumulation And The Propensity To Plan," The Quarterly Journal of Economics, MIT Press, vol. 118(3), pages 1007-1047, August.
  17. Briard, Karine & Duc, Cindy & El Mekkaoui de Freitas, Najat & Legendre, Bérangère & Mage-Bertomeu, Sabine, 2008. "Aléas de carrières des seniors et impact sur les retraites," Economics Papers from University Paris Dauphine 123456789/411, Paris Dauphine University.
  18. Beverly, Sondra G. & Sherraden, Michael, 1999. "Institutional determinants of saving: implications for low-income households and public policy," Journal of Behavioral and Experimental Economics (formerly The Journal of Socio-Economics), Elsevier, vol. 28(4), pages 457-473.
  19. El Mekkaoui de Freitas, Najat & Martins, Joaquim Oliveira, 2008. "Consumption Structure, Welfare Goods and Retirement Income: Linking the Ageing Puzzles," Economics Papers from University Paris Dauphine 123456789/2343, Paris Dauphine University.
  20. El Mekkaoui de Freitas, Najat & Kukla, Bénédicte & Legendre, Bérangère, 2010. "Les systèmes d’information sur les retraites en Europe et aux États-Unis," Economics Papers from University Paris Dauphine 123456789/11272, Paris Dauphine University.
Full references (including those not matched with items on IDEAS)

This item is not listed on Wikipedia, on a reading list or among the top items on IDEAS.

When requesting a correction, please mention this item's handle: RePEc:dau:papers:123456789/11142. 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: (Alexandre Faure)

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.

If references are entirely missing, you can add them using this form.

If the full references list an item that is present in RePEc, but the system did not link to it, you can help with 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 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.

This information is provided to you by IDEAS at the Research Division of the Federal Reserve Bank of St. Louis using RePEc data.