Giné, Xavier; Townsend, Robert; Vickery, James - Federal Reserve Bank of New York - 2007
wealthy households, and lower among households that are credit constrained. These results match predictions of a simple …-up decisions, and risk averse households are found to be less, not more, likely to purchase insurance. We present evidence … suggesting that these results reflect uncertainty about the product itself, given households' limited experience with it. …