Goda, Gopi Shah; Manchester, Colleen Flaherty - 2010
This paper examines the effect of incorporating individual-level heterogeneity into default rules for retirement plan … selection. We use data from a large employer that transitioned from a defined benefit (DB) plan to a defined contribution (DC …) plan, offering existing employees a choice of plans. Employees who did not make a choice were defaulted to switch to the DC …