COGNITIVE CONSTRAINTS ON VALUING ANNUITIES

被引：68

作者：

Brown, Jeffrey R. ^{[1
]}

Kapteyn, Arie ^{[2
]}

Luttmer, Erzo F. P. ^{[3
]}

Mitchell, Olivia S. ^{[4
]}

机构：

[1] Univ Illinois, Chicago, IL 60680 USA

[2] Univ Southern Calif, Los Angeles, CA USA

[3] Dartmouth Coll, Hanover, NH 03755 USA

[4] Univ Penn, Philadelphia, PA 19104 USA

来源：

JOURNAL OF THE EUROPEAN ECONOMIC ASSOCIATION | 2017年 / 15卷 / 02期

关键词：

FINANCIAL LITERACY; MARKET PARTICIPATION; PORTFOLIO CHOICE; ASSET ALLOCATION; LIFE ANNUITIES; ANNUITIZATION; RETIREMENT; MORTALITY; DECISION; GENDER;

D O I：

10.1093/jeea/jvw009

中图分类号：

F [经济];

学科分类号：

02 ;

摘要：

This paper documents consumers' difficulty valuing life annuities. Using a purpose-built experiment in the American Life Panel, we show that the prices at which people are willing to buy annuities are substantially below the prices at which they are willing to sell them. We also find that buy values are negatively correlated with sell values and that the sell-buy valuation spread is negatively correlated with cognition. This spread is larger for those with less education, weaker numerical abilities, and lower levels of financial literacy. Our evidence contributes to the emerging literature on heterogeneity in financial decision-making abilities, particularly regarding retirement payouts.

引用

页码：429 / 462

页数：34

共 81 条

[1] Cognitive Abilities and Household Financial Decision Making [J].