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This paper analyses the relationship between dispositional optimism and stock investments. Data are drawn from the second wave of the Survey of Health, Ageing and Retirement in Europe. Dispositional optimism is found to be a relevant predictor of the ownership of stocks as well as of the share...
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's preferences. Thus, households heighten self-insurance by increasing precautionary savings for smoothing consumption and, in turn …, this higher level of savings tends to reduce wealth inequality. Also, regardless of income, women's preferences increase …
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